Top Banner
158

Budget Speech 17-18 - Eng. 14-3-2017

Jan 30, 2023

Download

Documents

Khang Minh
Welcome message from author
This document is posted to help you gain knowledge. Please leave a comment to let me know what you think about it! Share it to your friends and learn new things together.
Transcript
Page 1: Budget Speech 17-18 - Eng. 14-3-2017
Page 2: Budget Speech 17-18 - Eng. 14-3-2017

Hon’ble Speaker,

1. I present the Budget for the year 2017-18 before

the people of the State through you.

2. On the threshold of our Government completing

the fourth year in another two months, I feel that it is

my duty to place before the people of the State not only

perspective for the ensuing financial year but also an

account of our achievements.

3. Ours is an all-inclusive, universal development

model with a human face. To supplement this, in my

last four budgets, I have put forth before the people, an

extensive economic framework for social justice, one of

the objectives of our Constitution. I have made an

honest effort to further extend and enhance the same in

this budget.

4. It is my desire that the impact of development

should reflect in the lives of people. I believe that this is

the true measure of achievement of our Government.

We always have an open mind to public opinion.

“Janamana” programme with beneficiaries of the

schemes is a testimony for this. By respecting the public

opinion expressed there, we have made our schemes

more useful for the people by modifying them.

5. Ramarajya is a concept representing

hunger-free, exploitation-free, overall development with

deep rooted harmony. Be it inspiration behind the

Constitution drafted by Ambedkar, life of Gandhiji

saying ‘my life is my message’ or anna Basavanna’s

ideals, all say the same. Therefore, it is my belief that,

Ramarajya cannot be built by those who oppose the

concept of social justice.

Page 3: Budget Speech 17-18 - Eng. 14-3-2017

2 Budget 2017-18

6. Somehow, juvenile and narrow minded

impressions have crept in the economic sector that

pro-people Government means anti-development

Government! But, our Government has succeeded in

dispelling that myth. I wish to say with humility that

the Government that has been identified by the

common man as a pro-people Government, the same

Government’s administration and policy-programmes

have succeeded in raising Bengaluru to the stature of

most dynamic city in the world.

7. It should not be forgotten that the same

Government, which has been acknowledged as

pro-social justice, has propelled the State to the first

position in the Country in terms of investment intention.

8. There is a section of people amongst us,

which believes that providing infrastructure itself is

development. This is only a partial truth. Whatever it is,

the section which believes so should also not have much

reservations about the performance of our Government.

During the tenure of our Government, schemes for

development of infrastructure in the State and

Bengaluru are not merely on paper but are before the

people. Be it Bengaluru Metro, State Road Transport

Corporation, which is getting award after award,

upgraded State Highways across the State, which has

raised eyebrows of many, Industrial Parks, which have

come up all over the State, nobody can easily deny that

these are the face of development.

9. Darkness will not cast on the future of the land

where women and children are the focus of development.

This is a simple truth which I have found out by

experience. Today, even reputed private institutions are

Page 4: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 3

appreciating the steps taken by the State with regard to

empowerment of women and in shaping the future of the

children. I wish to bring to the notice of this House that,

recently an international organization has accorded

‘Most Encouraging State Government – 2017’ award for

the steps taken by Karnataka to encourage women

entrepreneurs and remove gender inequality.

10. I am proud to state that this is the face of our

development. Commitment of women in carefully

building the society as daughters, mothers, and sisters

is unquestionable. Therefore, gender sensitive features

are deeply rooted in our fiscal policy, which will provide

equal opportunities and choices by removing gender

inequality.

11. Last four years of our journey was not a bed of

roses. We are facing an adverse situation because of

slump in economic activities, including continuous

drought since two years and recent demonetization,

which is being countered through fiscal discipline,

commitment to resource mobilization and efficient

administration.

State’s Economy

12. The Gross State Domestic Product in the year

2016-17 grew at the rate of 6.9 percent as against the

rate of 7.3 percent during 2015-16. Agriculture sector is

estimated to grow by 1.5 percent. The cause for decline

in overall growth rate is attributable to decline in growth

rate of industry and service sectors. The industry sector is

expected to grow at 2.2 percent compared to 4.9 percent

during previous year while the service sector is expected to

register a growth of 8.5 percent during the current year as

compared to 10.4 percent the previous year.

Page 5: Budget Speech 17-18 - Eng. 14-3-2017

4 Budget 2017-18

Effect of Demonetisation

13. Any public policy, apart from the purpose of

achieving the intended target, should also be very

efficient in its execution. Demonetisation caused huge

amount of distress to the public but the Union

Government is yet to disclose what outcome has been

achieved by it. The entire cooperative sector that is so

critical in servicing the farmers and the rural folk,

virtually came to a stand still. The manner of

implementation betrayed a lack of preparedness, with the

banking system just not geared up for this responsibility

given to them. The goal posts were changed mid-way and

the rules were repeatedly modified. While the need for

demonetisation itself is debatable, I think that the Union

Government and the Reserve Bank of India could have at

least foreseen the exigencies and could have put in

practical and robust systems in place to insulate the

common man from these hardships.

State’s Financial Position

Plan Performance in 2016-17

14. The State’s plan size for 2016-17 was fixed at

Rs.85,375 crores. This included support of Rs.75,665

crores from State Government's resources and Rs.9,710

crores as resource of the Public Sector Enterprises. As

against this, as per the Revised Estimates, the plan size

for the year 2016-17 is expected to be Rs.85,933 crores.

We are confident of achieving this higher target set in

Revised Estimates.

Page 6: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 5

Removal of Plan and Non Plan distinction from

FY 17-18

15. The distinction between Plan and Non-Plan

expenditure in the budgetary system was brought in

when the plan model of economic growth was adopted

in the country. Over the period, the Plan and Non plan

bifurcation of expenditure has contributed to

fragmented view of resource allocations to various

programmes and schemes. C.Rangarajan Committee

and the Administrative Reforms Commission (ARC) 14th

Report recommended that distinction of Plan and Non

Plan to be done away with. In line with the above,

Government of India has done away with Plan, Non-plan

classification from 2017-18 budget. In line with the

National initiative, the State Government has decided to

remove the distinction between plan and non-plan

from FY 17-18.

Amendment to the Karnataka Scheduled Castes

Sub-Plan and Tribal Sub-Plan (Planning, Allocation

and Utilization of Financial Resources) Act, 2013

16. Till now, 24.10 % of Plan was considered for

earmarking under SCSP/TSP and Non-Plan expenditure

was not considered in the base. This will change as Plan

and Non-plan distinction will no longer be there from

FY17-18. From this base, the exempted expenditure

that includes salary, salary GIA, pension, administrative

expenditure, principal repayment and interest payment

on account of the State government's borrowing and

off-budget borrowings by the State Government

Undertakings and any such expenditure of

Page 7: Budget Speech 17-18 - Eng. 14-3-2017

6 Budget 2017-18

administrative nature so notified by the Government

will be excluded. Allocable budget, which is the Total

Consolidated Fund expenditure less Exempted

expenditure, will be used as a base to calculate the

SCSP/TSP allocation. 24.1% of this base will be

earmarked for SCSP/TSP. An amendment to this effect

will be moved in this Session.

Agriculture

17. Achievements in the last four years.

18. Drought Proofing and Risk Mitigation:

• Limited use of water is key to sustainable

agriculture. In this context, thrust has been

given to micro irrigation by providing 90%

subsidy and tripling the allocation for the same

during the last 4 years. Community micro

irrigation projects like Ramthal have been taken

up on large scale. Under this programme, drip

and sprinkler irrigation units have been

distributed to 3.9 lakh farmers covering an area

of 4 lakh hectares.

• To ensure protective irrigation in rainfed areas,

Krishi Bhagya Yojane has been implemented and

has been largely acclaimed by farmers

throughout the State. Under this programme,

1.2 lakh farm ponds and 2546

polyhouses/shade-nets have been constructed.

For this an amount of Rs.1121 crore has been

spent.

• “Kere Sanjeevini” scheme for rejuvenation of

tanks and large scale watershed area

Page 8: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 7

development has augmented drought tolerance.

For the first time in the country, a project has

been formulated and being implemented to treat

8 TMC of waste water of Bengaluru flowing from

Kormangala-Challagatta valley to fill up 126

tanks of Kolara and Chikkaballapura districts to

be used for irrigation at an estimated cost of

Rs.1,280 crore. The work is in progress.

• To mitigate the risks from natural calamities and

to compensate for crop loss, action has been

taken for speedy computerized settlement of

claims of the farmers under Karnataka Raitha

Suraksha Pradhana Mantri Fasal Bhima Yojane.

Under this scheme 22.2 lakh farmers covering an

area of 29.8 lakh hectares will be benefited. The

State Government has its 50% share amounting

to Rs.876 crore.

• I propose to take up the long pending Mekedatu

and Upper Krishna Projects in the current year.

19. Improving and Stabling farmers’ income:

• To enhance farmers’ income, thrust has been

given to Animal Husbandry through Pashu

Bhagya and Ksheera Dhare schemes. This has

increased the income of marginal farmers and

also increased milk collection in the state.

Under Pashu Bhagya scheme, 50% subsidy

to SC/ST communities and 25% subsidy

to general category is being given. During

2015-16 and 2016-17, 27,869 beneficiaries have

been benefited at a cost of Rs.91 crore.

Page 9: Budget Speech 17-18 - Eng. 14-3-2017

8 Budget 2017-18

• To reduce cost of production and overcome

deficit in availability of farmer labour, thrust is

given to farm mechanization by substantially

increasing the allocation. In addition to this,

custom hiring centers have been set up for

renting farm machinery. Under this

scheme farm machinery and agro-processing

equipments have been distributed to 10.5 lakh

farmers. 305 Krishi Yanthra Dhare centers

have been set up to provide farm machinery on

rental basis. 4.3 lakh farmers have availed the

services from these centers.

• 28 lakh quintals of high quality seeds have been

distributed at subsidised rates to 100 lakh

farmers and 135 lakh tons of fertilizers have

been efficiently distributed.

• Under “Soil Health Mission”, 16 lakh soil

samples have been collected and 30 lakh Soil

Health Cards have been distributed to the

farmers.

• In order to protect farmers from the vagaries of

fluctuation in market price, budgetary support

to the revolving fund has been enhanced.

Establishment of transparent online market

system has enhanced income of farmers by

making competitive prices available to them.

Grants have been provided at record levels for

constructing godowns for storage of agricultural

produce.

Page 10: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 9

20. Farmers empowerment through

Informatization and Institution Strengthening:

• For providing market information, crop

advisories and weather forecasts to farmers

through electronic media, Information

Communication Technology (ICT) has been

adopted. Information is being provided to

farmers by setting up Integrated Help-Line and

“Community Radio Centers” in Agriculture

Universities.

• Agriculture related programmes will be directly

monitored by “Karnataka Krishi Abhirudhi

Parisath” under the chairmanship of Chief

Minister.

New Schemes for the year 2017-18

21. “Krishi Bhagya” scheme has played a pivotal

role in providing protective irrigation to crops during

critical stages to combat drought effectively and to

obtain higher income. Taking into account the success,

the scheme will be extended to Costal and Malnad areas

(excluding command areas) covering all the taluks in the

year 2017-18. For this purpose, a grant of Rs.600 crore

will be provided.

22. The State is continuously facing drought for the

last 5 years and “Karnataka Raitha Suraksha Pradhana

Manthri Fasal Bima Yojana” has proved to be a boon to

overcome this situation. For the year 2017-18, an

amount of Rs.845 crore has been provided along with

central assistance to cover a total area of 31.5 lakh

hectares.

Page 11: Budget Speech 17-18 - Eng. 14-3-2017

10 Budget 2017-18

23. In order to emphasize judicious and efficient

use of water, drip and sprinkler irrigation units will be

distributed at 90% subsidy for up to 2 hectares and 50%

subsidy for up to 5 hectares covering an area of 1.8 lakh

hectares. For this purpose, an amount of Rs.375 crore is

provided.

24. Since a large number of farmers have been

benefited from the “Krishi Yanthradhare Programme”,

the programme will be further extended to the remaining

hoblis. It is proposed to set up 250 more centers at

hoblis. For this purpose, Rs. 122 crore has been

earmarked.

25. For the first time in the State, the incentives will

be directly transferred to the farmer’s account for

promoting adoption of improved technologies especially

in paddy, pulses and oil seeds with an intention to

increase production and reduce the cost of cultivation.

Incentive will also be given to technology promoters. For

this purpose, Rs.100 crore is provided.

26. To attract rural youth towards agriculture by

providing employment opportunities and to encourage

usage of farm machineries alongwith facilitating

manufacture of small agricultural implements locally, it

is proposed to established 174 “Rural farm machinery

Repair/Service Centers”, one in each taluka. Rs.10

crore is provided to establish these centers with Bank

linkage at a subsidy of Rs.5 lakh per center or upto a

maximum of 50% and for SC/ST community subsidy

upto 75%.

27. In 2017-18, a total amount of Rs. 5080 crore is

provided to Agriculture Department.

Page 12: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 11

Horticulture

28. Achievements in last four years

• Though severe drought situation was prevailing

in the state during the last four years, there has

been an increase of area under horticultural

crops from 18.35 lakh hectares to 21.36 lakh

hectares. This has led to increase in production

from 149.6 lakh tons to 178.6 lakh tons.

Rs.2500 crore has been provided in the form

of subsidy to 8 lakh beneficiaries for

implementation of various schemes. Schemes

have been implemented for production of 77.5

lakh graft and seedlings, adoption of drip

irrigation system in 1.3 lakh hectares and

rejuvenation of horticulture crops in 36,094

hectares. Karnataka State has been declared as

the best Horticulture State in the country for

2015.

• 87 Farmer Producer Organizations (FPOs)

covering 87,000 farmers have been formed to

augment horticulture production and output

business activities. These organizations have

started input business, custom hire business

and output business.

• In 2016-17, 2422 tons of certified seed potato

were procured from Jalandhar through National

Seeds Corporation and distributed to 2817

farmers through Farmer Producing

Organizations (FPOs) and HOPCOMS. This

programme will be continued even in the next

kharif season.

Page 13: Budget Speech 17-18 - Eng. 14-3-2017

12 Budget 2017-18

New Schemes for the year 2017-18

29. Grant of Rs.200 crore will be provided for

implementation of “Krishi Bhagya” scheme under

Horticulture Department for the first time.

30. For expansion of horticultural area by 20,000

acres, 40 lakhs of planting materials including Tissue

Culture plants will be provided to 20,000 farmers, for

which Rs.5 crore will be provided.

31. Horticulture Department has 418 farms over

16,000 acres, which need to be improved. Our

government will take up development of 100 model

farms in next 5 years and for this purpose a budget of

Rs.10 crore will be earmarked.

32. It is proposed to start “Cashew Development

Board” for developing 10,000 hectares of good quality of

cashew orchards over next 5 years in the State to benefit

more than 10,000 farmers. For this Rs.10 crore will be

provided.

33. It is proposed to take up rejuvenation of

coconut plantations and enhance productivity in an area

of 10,000 hectares, which will benefit 10,000 farmers.

For this purpose, Rs.10 crore has been earmarked.

34. It is proposed to take up rejuvenation of 5,000

hectares of Mango orchards benefiting around 5,000

mango growers in increasing productivity. For this

purpose Rs.10 crore is provided.

35. For production of high quality mangoes,

initiatives are proposed to encourage mango growers to

adopt Global GAP (Good Agricultural Practices)

Page 14: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 13

Certification and to provide scientific ripening facilities

in 100 APMC markets across the State, for which Rs.10

crore will be provided.

36. Assistance will be given for providing post

harvest and marketing facility to spice growers,

especially that of dry chilly, pepper and turmeric etc.,

through the Spice Development Board set up by them.

This will benefit 7000 farmers and Rs.3 crore will be

provided.

37. To support coconut growers, ‘Neera Policy’ has

been approved. The Excise Act, has been amended to

implement it. Licenses will be issued to select Coconut

Producer Companies and Farmer Producer Companies

to make ‘Neera’ as a nourishing drink and its processing

for other uses. They will be supported for creating

marketing and other facilities. For this Rs.3 crore is

provided.

38. It is proposed to renovate Indira Gandhi

Musical Fountain in Bengaluru using new technology

and rain-proof shelter for visitors.

39. Drip irrigation facility will be provided to 35,000

farmers with 90% subsidy, at a cost of Rs.233 crore.

40. To mitigate water scarcity to crops due to severe

drought for the last 3 years, 50% subsidy (maximum of

Rs.50,000) will be provided to 10 farmers per taluka to

purchase water tankers.

41. In 2017-18, a total provision of Rs 1091 Crore

is made to Horticulture Department.

Page 15: Budget Speech 17-18 - Eng. 14-3-2017

14 Budget 2017-18

Animal Husbandry

42. Achievements during the last 4 years

• Animal husbandry is an important occupation

in the rural areas of the State. The State is at

2nd place in milk collection, 7th place in

production of eggs, 4th place in rearing of sheep

and goat and 11th place in the production of

meat.

• During 2015-16, approximately 6344 thousand

tonnes of milk, 476 crore eggs and 2 lakh

tonnes of meat has been produced. There are

sufficient opportunities for growth in these

areas. Therefore, the State is encouraging rural

farmers through the schemes like ‘Kurigahi

Suraksha Yojane’, ‘Ksheera Bhagya’, ‘Pashu

Bhagya’ etc. Number of beneficiaries have

increased from 7.7 lakh in 2013-14 to 8.8 lakh

in 2016-17. Daily procurement of milk has

increased from 52 lakh Kg in 2013-14 to 68

lakh kg in 2016-17. The incentive has been

increased from Rs.2/- to Rs.5/- per litre after

our Government came to power.

• 16387 dairy units have been provided to

Scheduled Caste/Scheduled Tribe beneficiaries

during 2013-14 to 2016-17 out of the grant of

Rs.100 crore under Scheduled Caste Sub

Plan/Tribal Sub Plan.

• Under the ‘Amrutha Yojane’ scheme, dairy units

have been distributed to 9672 widows and

destitute women to achieve the self-reliance

Page 16: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 15

during 2013-14 to 2016-17 by incurring an

expenditure of Rs.28 crore.

New Schemes for the year 2017-18

43. With an objective of extending the expert and

improved veterinary services to all the villages of the

State, it is proposed to upgrade 1,512 Primary

Veterinary Centers to Veterinary Dispensaries in a

phased manner. 302 such centres will be upgraded

during the year. I feel proud that with this, the State

has taken the first step towards having Veterinary

Centres with graduate veterinary doctors in the country.

44. “Certified Elite Breed Ram Producing Units” will

be established in the State for the development of 10,000

elite lambs by selecting ‘True to the breed’ lambs of three

months’ age and providing good quality feed for 12

months.

45. It is proposed to establish a modern abattoir in

each revenue division at unit cost of Rs.7.25 crore

through Karnataka Sheep and Goat Breeding

Co-operative Federation. Construction of two abattoirs

will be taken up during the year.

46. To provide clean and hygienic meat to public,

existing meat stalls will be modernized at unit cost of

Rs.5 lakh. A subsidy of Rs.1.25 lakh per stall will be

provided for this purpose.

47. 40 godowns for storage of wool and hide will be

constructed over 2 years for the use of registered Sheep

Co-operative Societies of the State at a cost of Rs.10 lakh

with Rs.7.5 lakh subsidy and remaining Rs.2.5 lakh as

contribution by the societies.

Page 17: Budget Speech 17-18 - Eng. 14-3-2017

16 Budget 2017-18

48. To make efficient use of wool procured in the

State, 4 Wool Processing Units will be established to

carry-out scientific processing and production of value

added products, at a cost of Rs.2.45 crore each over 3

years.

49. It is proposed to make the State self-reliant in

Foot-and-Mouth (F&M) vaccine production by

establishing a Vaccine Production Unit at a total cost of

Rs.100 crore over a period of three years.

50. It is proposed to establish 3 diploma colleges in

Koravengala in Hassan district, Baragi in

Chamarajanagar district and Yadgir at an estimated cost

of Rs.7.5 crore.

51. Compensation of Rs. 10,000 will be provided to

farmers to mitigate the distress caused due to the death

of uninsured bullock /cow.

52. Compensation of Rs. 2,500 will be provided for

the death of sheep/goat less than 6 months old and

Rs. 5,000 for more than 6 months old.

53. For Sheep Breeding in Ballary a “Ballary Sheep

Breeding Centre” will be commenced in Kurikuppe

village of Ballary District. A grant of Rs.1 crore will be

earmarked for this.

54. During 2017-18, a total grant of Rs. 2245 crore

is provided for Animal Husbandry Department.

Page 18: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 17

Sericulture

55. Achievements during the last four years

• Various plan schemes have been taken up for the

development of sericulture in the State. The

State has maintained first place in the country

by producing 36,147 metric tonnes of silk during

the last four years. The State’s contribution in

the country is 48%. It has provided employment

opportunities to about 12 lakh people.

• During 2015-16, 9,823 metric tonnes of raw silk

has been produced by producing 76,436 metric

tonnes of cocoons. It includes 1,344 metric

tonnes of bivoltine silk. Total of 4,589 metric

tonnes of bivoltine silk is produced in 4 years,

which is an all-time record.

• 2 cold storages have been established in

Tumkuru and Channapatna grainages. Action

has been taken to establish 2 cold storages in

Hassan and Mandya grainages in 2016-17.

• Integrated e-auction system has already been

implemented in Kollegal, Ramanagar,

Shidlaghatta and Kanakapura markets. During

2016-17, necessary action has been taken to

implement integrated e-auction system in

Channapatna, Kolar and Vijayapura markets.

• Government has provided production incentive of

Rs.214 crore during the last 4 years to

encourage increase in production of silk.

Page 19: Budget Speech 17-18 - Eng. 14-3-2017

18 Budget 2017-18

New Schemes for the year 2017-18

56. It is proposed to establish Silkworm

Egg/Chawki Quality Control Authority to ensure the

quality control in seed production and chawki rearing

and for the comprehensive development of silk industry.

57. Our Government proposes to provide financial

assistance to train the rural diploma holders for a period

of one month in post cocoon activities especially to

develop skills in reeling activities under entrepreneurs

development programme conducted by the Central Silk

Board.

58. It is proposed to establish Sericulture Training

Institute in Hassan district to impart training to the

farmers and the departmental employees on the recent

technologies and new innovations in the sector.

59. A grant of Rs.5 crore will be provided to

Karnataka Silk Industries Corporation (KSIC) to

establish Second Composite Weaving Factory in the

premises of Mysore Silk Weaving Factory, at an

estimated cost of Rs.24 crore.

60. During 2017-18, a total grant of Rs.429 crore is

provided for Sericulture department.

Fisheries

61. Achievements for the last four years

• The fish production of the Karnataka State

increased from 5.26 lakh metric tonnes during

the year 2012-13 to 5.81 lakh metric tonnes in

the year 2015-16 (10.40%). The state is in the 6th

position in fish production of the Country.

Page 20: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 19

• 4 lakh metric tonnes of marine products valued

at Rs.4,404 crore were exported.

• Emphasis has been given for provision of

infrastructure facilities to benefit the coastal

mechanized fishing. During this period, an

amount of Rs.225 crore has been spent on

construction of fishing harbor and landing

center, dredging, coastal link roads and bridges.

• 1.5 lakh kilo litre of diesel exempt from sales tax

was being provided to mechanized fishing boats.

An amount of Rs. 184 crore equal to the sales

tax, is being credited to the bank account of

3,500 owners of mechanized fishing boats as

subsidy, from the year 2015-16.

New schemes for the year 2017-18

62. To handle congestion due to increase in number

of boats at Malpe and Mangalore fishing harbours,

extension of jetty for an extent of 75 meters will be taken

up, for safe landing of boats, at an estimated cost of Rs.

5 crore.

63. Under “Matsya Krishi Asha Kirana” scheme, to

increase fish production and to encourage fish culture in

an area of 2,500 hectare in major tanks across the state,

it is proposed to give 50% of the unit cost upto a

maximum of Rs.27,000 as subsidy to purchase 4,000

fingerlings per hectare and 2 tonnes of artificial feed.

For this purpose Rs.6.75 crore will be provided.

64. Farmers holding land with adequate water

resource will be encouraged to construct a pond to

take-up intensive fish culture. At a unit cost of Rs.8.5

lakh for construction of fish pond including capital

Page 21: Budget Speech 17-18 - Eng. 14-3-2017

20 Budget 2017-18

expenditure, 50% subsidy subject to a maximum of

Rs.4.25 lakh will be provided to promote fisheries.

65. It is proposed to assist fishermen co-operative

societies in construction of Fish Collection and

Marketing Building of a minimum size of 500 sq feet, on

their own site with water, electricity and other facilities

by providing 75% subsidy at an estimated unit cost of

Rs.10 lakh. Initially construction of 20 buildings will be

taken up.

66. In order to assist 200 ice plants and 35 cold

storages in 3 coastal districts, it is proposed to increase

the subsidy on electricity to Rs.1.75 per unit from the

existing Rs.1.5 per unit and the ceiling to Rs.3.5 lakh

from the existing 3 lakh per plant per year. Rs. 6 crore

will be provided for this purpose.

67. Under “Matsyashraya Scheme” 3000

beneficiaries will be selected by Fisheries Department.

Scheme will be implemented through Rajiv Gandhi

Housing Corporation.

68. During 2017-18 a total amount of Rs.337 crore

is provided to Fisheries Department.

Co-operation

69. Achievements for the last four years

• During 2012-13, agricultural loan of Rs.6,560

crore was disbursed to 16.7 lakh farmers

through the co-operative societies. During

2016-17, loan amount has increased to

Rs.11,500 crore to 23.5 lakh farmers. In last

four years, agricultural loan of more than

Rs.4,940 crore has been disbursed to 6.8 lakh

Page 22: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 21

new farmers. From 2013-14, the limit for short

term agricultural loan disbursed at zero percent

has been enhanced from Rs. 1 lakh to Rs. 2

lakh. From 2014-15, our government has helped

the farmer community by enhancing the said

limit to Rs. 3 lakh.

• In the backdrop of severe drought for the last 2

years, Government have implemented 2

schemes to come to the rescue of farmers. The

time limit for payment of instalments for short

term and long term agriculture loan payable by

farmers to co-operative societies during 2015-16

has been extended by one year. Through this,

interest subsidy of Rs.45 crore has been paid by

the Government on behalf of the 2 lakh farmers.

The due date for all kinds of agricultural loan

outstanding as on 30.09.2015 was extended to

30.09.2016, which was further extended to

31.03.2017 in the light of continuing drought

situation in 2016-17. Due to this, benefit of

Rs.125 crore as interest waiver will be available

to 74,525 farmers.

• Out of the crop loan obtained by the farmers

from the co-operative societies from 01.07.2011

to 25.07.2012, loan amount upto Rs.25,000 was

waived. During this period, grant of Rs.940

crore was released to 4 lakh farmers. During the

tenure of our Government, Rs.2,359 crore was

released for waiver of loans relating to 10.7 lakh

farmers.

• From the year 2014-15, Yashaswini Scheme has

been extended to city co-operatives also. 163

Page 23: Budget Speech 17-18 - Eng. 14-3-2017

22 Budget 2017-18

lakh members have been enrolled under the

scheme in the past four years. 5.9 lakh

beneficiaries have undergone surgery and 7.8

lakh out patient beneficiaries have been treated

at the expenditure of Rs.831 crore.

• More than 10 lakh persons belonging to BPL,

SC/ST, women, physically challenged,

minorities and backward class categories have

been enrolled as members in various

co-operative societies during the past four years

with an assistance of Rs.44 crore.

• During the tenure of our Government, executive

body of all the cooperative societies having

individual membership was modified by

reserving one seat for schedule caste and one

seat for schedule tribe and two seats for

backward classes, from the earlier one seat for

schedule caste/schedule tribe and one seat for

backward class. Due to this, members of these

communities have been given an opportunity to

effectively participate in the administration.

• As announced in 2013-14 Budget, the

recommendations of Agricultural Marketing

Reforms Committee have been implemented.

Accordingly, the agricultural produce marketing

committees in the state have been brought

under the ambit of online sales. Out of 162

agricultural produce marketing committees of

the state, already 156 committees have been

linked to the unified market platform. The

unified market platform has become a model in

the country.

Page 24: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 23

• As announced during the last budget, the

representation of women has been enhanced in

each APMC from 1 to 3, as a prominent measure

towards women empowerment.

• Outstanding bank loans amounting to Rs. 11.76

crore obtained through PCARD banks in the

state for digging of bore wells and open well for

agricultural purpose to 4,622 farmers that have

become outstanding due to failure of bore wells,

have been waived.

New schemes for the year 2017-18

70. The scheme of disbursing short term

agriculture loans upto Rs.3 lakh at zero percent interest

rate and medium term and long term agriculture loans

upto Rs.10 lakh at 3% rate of interest will be continued.

A target has been fixed to disburse Rs.13,500 crore of

agriculture loans to 25 lakh farmers.

71. Action will be initiated to establish Primary

Agricultural Co-Operative Societies (PACS) in every

Grama Panchayath where it is financially viable.

72. Loan at 4% rate of interest being disbursed

thorough co-operative societies to the women self help

group will be disbursed at zero percent rate of interest

from this year.

73. With the assistance of NABARD, DCC banks

will provide Micro ATM cum POS machines to Primary

Agricultural Co-operative Societies that have internet

connectivity. For this purpose, State Government will be

providing 25% assistance.

Page 25: Budget Speech 17-18 - Eng. 14-3-2017

24 Budget 2017-18

74. It is proposed to implement the following special

programmes in Agricultural Produce Markets

1. Rs. 5 crore for the establishment of onion

godown at Gadag.

2. Rs. 5 crore for the modernization of facilities in

livestock markets.

3. Rs. 5 crore to provide sophisticated facilities such as crate, trolley and electronic weighing

machines to vegetable markets.

75. During 2017-18, a total amount of Rs.1663

crore is provided to Co-operation Department.

Water Resources

76. Achievements during the last four years

• During the Budget Speech of 2013-14, it was

announced that a grant of Rs.50,000 crore will be

provided for irrigation sector in the coming 5

years. Accordingly, grant of Rs.48,096 crore has

been provided to irrigation sector during the last 4

years. Irrigation capacity for 6.2 lakh acres has

been created and field drains for 4.4 lakh acre,

have been built.

• 5 head works and around 437 km main/branch

canal construction works among all sub projects

coming under Upper Krishna Project Phase-3

have been completed. Expenditure of Rs.5,076

crore has been incurred so far.

• Around 24000 hectares has been covered under

Ramathala Phase-2 Project, which is an important

project that uses drip irrigation. This project is

ready to be dedicated to people.

Page 26: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 25

• Under lift irrigation component of Ethinahole

Project, 8 weir works have been taken up and

remaining 6 works are in progress at different

stages. Rising Main of 34 km has been completed

and remaining works are in progress.

• Modernization of 23 dam canals under Cauvery

Basin, which are a century old, has been taken

up at a cost of Rs.1588 crore, out of which 13

works have been completed.

• Out of 19 new canal works taken up at a cost of

Rs.1,614 crore, 8 works amounting to Rs.810

crore have been completed and 11 works are

under progress.

77. During 2017-18, the following approved

projects will be taken up at an estimated cost of

Rs.6,000 crore:-

• Implementation of SCADA Based Automation

under the modernization project of Narayanapura

Left Bank Canal Network.

• Kempawada (Basaveshwara) Lift Irrigation Project.

• Chilavara Bandi Lift Irrigation Project in

Hagaribommanahalli Taluk.

• Sasvehalli Lift Irrigation Project.

• Tank filling project in Muttinamulisoge village in

Periyapatna.

• Garalapura and other 12 tanks filling projects in

Kanakapura Taluk.

• Rejuvenation of 6 Lift Irrigation Projects and 16

tanks filling projects in Maddur Taluk.

Page 27: Budget Speech 17-18 - Eng. 14-3-2017

26 Budget 2017-18

• Modernization of Hanagodu canal network.

• Rangenahalli and other 22 tank filling projects in

Holenarasipura Taluk.

• Hura and other 25 tank filling projects in

Nanjanagud Taluk.

• Yaragola and other 5 tank filling projects in

Gurumitkal and Yadgir Taluks.

• Peerapura-Budihal Lift Irrigation Project to

provide irrigation facility to 20,472 hectare area in

Muddebihal Taluk.

• Chadachana Lift Irrigation Project to provide

irrigation facility to 9,278 hectares area in Indi

Taluk.

• Nandawadagi Lift Irrigation Project.

• To provide micro irrigation system in 20,000

hectare area during the current year under

Koppal and Singatalluru Lift Irrigation projects.

• Action will be taken to lift water, after completing

the lift component already taken up under

Ethinahole Project. Construction of Bairagondlu

Reservoir and Conveyance will be commenced.

• Irrigation facility to 68,264 hectare area during

2017-18: Construction of field irrigation canals

for 35,000 hectare area, construction of field

drains for 28,000 hectare area and development

of saline and alkaline lands of 12,500 hectare

area.

Page 28: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 27

New Schemes proposed for 2017-18

78. It is proposed to take up following works at an

estimated amount of Rs.3,000 crore during 2017-18.

(1) Nagarabetta Lift Irrigation scheme in Muddebihal

Taluk of Vijayapura District.

(2) Scheme to provide water to Yalligutti village of

Bilagi taluka in Bagalkot district.

(3) Installation of modern gates and rejuvenation

works of Yadgiri and Yadagira of Kalaburagi

district, Choladahedagi-Gudura, Ghattaraga and

Kalluru-B barrages.

(4) Project to fill 35 tanks of Yadgir taluka through Sannathi Scheme.

(5) Modernisation of Alamatti left bank canal.

(6) Project for filling up of Chulkinala Reservoir and tanks by lifting of water from Kongali barrage of

Basavakalyana Taluk.

(7) Supplemental project for stabilization of atchcut

area by providing water from Manikeshwara and

Halahalli barrage at 60 km and 90 km of the right

bank canal in order to supplement deficiency of

inflow to Karanja Reservoir.

(8) Modernization of Gandorinala and Mullamari

Upper Bank Projects of Kalaburagi District.

(9) Project to fill water to 17 tanks of 10 villages of

Rayabhaga taluka in Belagavi district from

Krishna River.

Page 29: Budget Speech 17-18 - Eng. 14-3-2017

28 Budget 2017-18

(10) Project to fill Doddakere tank of Ranebennuru in

Haveri district.

(11) Project to fill tanks through Guddada Mallapura

Lift Irrigation Project of Byadagi Taluk in Haveri

District.

(12) Project to fill water to Durgadevi and Bahugrama

tanks of Hirekerur town from Madaga Masuru

tank of Hirekerur taluka in Haveri district and to

fill tanks from Kumudhvati River.

(13) Project to fill the tanks near Itagi village of

Shirahatti taluka in Gadag district from

Tungabhadra River.

(14) Project to supplement deficiency in inflow of water

to Malavi Reservoir by supplying water from

Tungabhadra River.

(15) Project to fill 60 tanks of Harapanahalli Taluk

from Tungabhadra River.

(16) Project to fill water to tanks of Kitturu

Constituency of Belagavi district from Malaprabha

River.

(17) Project to fill water to 19 tanks of 10 villages

falling under Kudachi Constituency of Rayabhaga

taluka in Belagavi district from Krishna River.

(18) Project to fill tanks in drought prone villages of Tadakoda, Bokapura, Garaga, Haletegura, Bogura

and Neeralakatti of Dharwad taluk in Dharwad

district from Thupari Halla.

Page 30: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 29

(19) Project to fill excess water of Bheema River to

Amarja Reservoir.

(20) Reconstruction of Sri Ramadeva Dam in

Holenarasipura taluka of Hassan district.

(21) It is proposed to take up canal developmental

works of 374 km length in Cauvery basin at an

estimated cost of Rs.509.55 crore.

• Modernization of Harangi Left Bank chain from

27.083 km to 149.38 km.

• Modernization of Kanva canals.

• Modernization of R.B.L.L. of K.R.S. Project.

• Modernization of Markonahalli left and right

bank canal.

• C.C. lining works of D.D. Urs canal from

0.00 km to 75.00 km.

• Development of Sir Cotton canals, Hampapura

and Guppamma canals of Kollegal Taluk.

• Modernisation of Harohalli high level canal.

• Lift Irrigation from Hebballa to affected atchcut

area of Hebballa Chennaiah canal of Malavalli

taluka.

79. Cloud seeding will be taken up in the areas

facing severe drought. An amount of Rs.30 crore will be

provided for this purpose.

80. In 2017-18, a total amount of Rs.15929 is

allocated to Water Resources Department.

Page 31: Budget Speech 17-18 - Eng. 14-3-2017

30 Budget 2017-18

Minor Irrigation

81. Achievements during last four years

• Grant of Rs.5236 crore has been provided

between 2013-14 and 2016-17. New achcut area

of 1.14 lakh hectares has been created using

this. Irrigation facility has been restored in

46,398 hectare atchcut area.

• During 2014-15, to improve the ground water,

check dam/barrage works have been

implemented in 10 districts at a cost of Rs.200

crore.

• 193 comprehensive tank development works

have been implemented under “Keregala

Abhivrudhi Naadina Shreyobhivrudhi”

scheme.

• Irrigation facility has been provided to 14,436

beneficiaries from Schedule Caste and Schedule

Tribes by digging bore wells and installing solar

pump set under “Suryajyothi Raithara Baalina

Paranjyothi” scheme.

• Lift Irrigation Project has been taken up at an

estimated cost of Rs.883.5 crore to fill up 65

minor irrigation tanks in Chickballapur,

Bengaluru urban and Bengaluru rural districts.

• Developmental works of Belavadi Doddakere of

Chickmagalur district has been taken up and

will be completed in 2016-17.

Page 32: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 31

New Schemes for 2017-18

82. “Kere Sanjeevini” scheme for de-silting of

tanks has been successfully implemented under Rural

Development and Panchayath Raj Department. This

scheme will be scaled up to tackle recurring drought

conditions in the State and “Kere Sanjeevini” scheme

will be implemented through Lake Development

Authority by bringing tanks presently under Rural

Development and Panchayath Raj Department to Minor

Irrigation Department. Rs.100 crore will be provided for

the works to be taken up by the Authority.

83. Vented dams will be constructed under

“Paschima Vahini” project to collect and store water

flowing in west-flowing rivers of costal districts. For this

purpose, Rs.100 crore is provided during this year.

84. It is planned to construct check dams in Bidar,

Haveri, Chamarajanagar, Chickmagalur and Hassan

districts at a cost of Rs.50 crore, where ground water is

severely depleted.

85. Special project for groundwater development

will be taken up in Alanda Taluk of Kalaburagi District.

86. In 2017-18, a total amount of Rs.2099 is

allocated to Minor Irrigation Department.

Forest, Environment and Ecology

87. Major Achievements in last four years

• With 407 tigers and 6072 elephants, Karnataka

stands at first position in the country.

• There is an increase of 289 sq.k.m. in forest

cover in Karnataka as per India Forest Survey

Report-2015.

Page 33: Budget Speech 17-18 - Eng. 14-3-2017

32 Budget 2017-18

• 10 crore saplings have been distributed for

planting in private and farmers’ lands.

• For the saplings that have survived out of those

distributed among 63,939 beneficiaries,

incentive of Rs.29 crore has been given under

Agriculture Forest Incentive Scheme.

• Under SCP/TSP schemes, 1.6 lakh LPG

connections, construction of 1,168 bio gas

plants, installation of 6,276 solar water heaters,

distribution of 1,801 bee-keeping boxes,

installation of 52,457 solar lamps and

construction of 18,561 improved fuel efficient

simple ovens has been undertaken.

• Title deeds have been distributed to 13,049

persons under the Forest Right Act and right to

enjoyment of 42,901 acres of land has been

granted.

New schemes for 2017-18

88. Thrust will be given to following programmes to

grow more trees.

• It is proposed to develop ‘Salumarada

Thimmakka Vruksha Udyanavana’ in every

Assembly Constituency. In the first phase, 50

Tree Parks will be developed in forest land.

• 6 lakh sandalwood saplings will be raised and

700 hectares of sandalwood plantations will be

developed as an alternative to eucalyptus in the

districts of Kolar and Chikkaballapur.

• 6 crore tall and good quality saplings will be

raised for Vanamahotsava.

Page 34: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 33

• Incentive amount will be enhanced from Rs.45 to

Rs.100 for the each surviving seedling plant

under Krishi Aranya Prothsaha Yojane.

• Road side plantations will be raised along

4,720 k.m. roads under Mahatma Gandhi

National Rural Employment Guarantee Scheme

and by using 1% of the grant earmarked for this

purpose under different schemes.

89. Nursery Development Agency will be established

for development of all the nurseries on a scientific basis.

90. It is proposed to establish “Poornachandra

Tejaswi Prathishtana” in memory of late Poornachandra

Tejaswi, a renowned novelist and environmentalist to

carryout research on environmental issues at a cost of

Rs.5 crore and to develop a Forest Information Centre

near Bengaluru in Chikkamannugudda Research Centre

on Bengaluru-Mysuru Road at a cost of Rs.5 crore.

91. To prevent the migration of wild animals from

forest areas to human habitations due to shortage of

water, it is proposed to fill 100 water bodies/tanks in

deep forest with the help of self operating solar pumps at

an estimated cost of Rs.10 crore.

92. During 2017-18, a total amount of Rs.1732

crore is provided to the Forest, Environment and Ecology

Department.

Primary and Secondary Education

93. Achievements for the last four years

• The policy goal of the government, “Every child

in school and learning well”, guides our efforts

to focus on improving education quality,

Page 35: Budget Speech 17-18 - Eng. 14-3-2017

34 Budget 2017-18

inclusiveness and affordability. For achieving

these objectives, programmes for education

quality improvement and assurance, technology

assisted learning, incentives to students and

students motivation are being implemented in

government schools. The government has also

facilitated admission of 4 lakh children belonging

to weaker sections and disadvantaged groups in

private schools with quality education to the

satisfaction of their parents, and has been

reimbursing fee for them. To provide a wider

selection of schools for such students, the

criteria of neighborhood has been relaxed.

• The government has been providing free

textbooks to 63 lakh students, uniform to 47

lakh students, bicycles to 5 lakh students every

year besides mid-day meals every day and milk

in three days in a week to 60 lakh students.

• An Information Technology based “Shikshana

Kirana” system has been established to monitor

attendance and the learning achievements of

about 1 crore students in all the schools. With a

view to identify the students in the need of

supplementary teaching, an external

examination is being held for the students of 4th

and 6th standards in government schools.

• 7,911 teachers have been recruited during 2016.

• Effective partnerships with reputed NGOs like

Azim Premji/Akshara/Shikshana/Central Sqare

Foundation and Pratham have been forged to

improve education quality and teacher’s capacity.

Page 36: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 35

New schemes for the year 2017-18

94. As reform measures, Karnataka School

Education Policy and objective, transparent and

unobtrusive regulations covering infrastructure norms,

fee, teaching resources and safety and security of

students in all schools to achieve the policy goal will be

formulated.

95. The following initiatives will be taken-up to

strengthen the quality of education in government

schools.

• Use of practice and activity books;

• Objective learning assessments in classes 1 to 8;

• Vishwasa Kirana – supplementary teaching

during summer and other vacation periods;

• Introduction of revised text books in classes 1 to

10 and N.C.E.R.T textbooks for selected subjects

in class 9 to 12;

• Effective teaching of English language from

class -1.

• 176 consolidated schools upto class 12 at Grama

Panchayath head quarter;

• IT @ School for additional 1,000 high schools

and PU colleges.

• Comprehensive improvement in SSLC and PUC

examinations by utilizing Information

Technology.

96. For motivation of students, following measures

will be taken up.

Page 37: Budget Speech 17-18 - Eng. 14-3-2017

36 Budget 2017-18

• Distribution of Shoes and Socks;

• Distribution of milk 5 days in a week from July.

• Extension of Fortified Rice for 4 lakh children to

4 districts in mid-day meal programme in

decentralized mode;

• Distribution of chudidhar uniform for girls in

class 8 to 10.

• Story books with social message for school

libraries.

• Eye sight testing and provision of spectacles.

97. In respect of teachers, need based restructured

medium to long term training of 50 thousand teachers

and lecturers will be taken up for specific core subjects

and languages including English. After comprehensively

reviewing the work performance of District Education &

Training Institutions their performance will be

strengthened. Recruitment of 10,000 trained graduate

teachers for Primary Schools, 1,626 High School

Teachers and 1,191 P.U Teachers will be taken up in two

stages.

98. For improving school management and sector

governance, the use of technology initiated under

“Shikshana Kirana” will be strengthened including

biometric attendance of teachers.

99. During 2017-18, a total amount of Rs.18266

crore is provided to Primary and Secondary Education

Department.

Page 38: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 37

Higher Education

100. Achievements during last four years

• Approval has been granted for setting up of

“Bengaluru Dr. B.R.Ambedkar School of

Economics” (BASE) in Bengaluru for Higher

Education and Research in Economics, on the

lines of “London School of Economics”, where

Dr. B.R.Ambedkar has studied.

• State Government has sanctioned 470 acres of

land to the “Indian Institute of Technology” (IIT)

sanctioned to Karnataka state.

• In last 4 years, action has been taken to

establish 52 First Grade Colleges including 4

Government Engineering Colleges, 3

Government Polytechnics and 26 Women’s

Colleges.

• Skill Development Centre has been established

in Dandeli with a grant of Rs.50 crore and work

is under progress.

• Tution and laboratory fee has been exempted for

1.19 lakh girl students of aided higher

education institutions.

• Higher Education Academy has been

established in Dharwad.

• 10 SC/ST hostels, 10 general hostels and 3

women hostels in Government Engineering

Colleges and 47 SC/ST hostels in Government

Polytechnics have been constructed.

Page 39: Budget Speech 17-18 - Eng. 14-3-2017

38 Budget 2017-18

• Sanction has been accorded to M.M.Kalaburagi

Research Centre in Karnataka University of

Dharwad and Dr. U.R. Ananthamurthy Study

Chair in Mysore University.

• Recruitment process for appointment of 2034

Assistant Professors in Government First Grade

Colleges has been completed and appointment

orders will be issued shortly.

New schemes for 2017-18

101. With the objective of encouraging higher

education in Hyderabad-Karnataka region, Raichur

University will be established. All the colleges of Raichur

and Yadgir districts will be brought under the

jurisdiction of this University.

102. To bring transparency in administration of

Universities and to enforce common provisions of the

Karnataka State Universities Act, 2000 amendments will

be brought to the said Act.

103. To encourage rural, backward and economically

poor students to acquire technical education, 25 new

Government Polytechnics will be started across the rural

areas of the State at a cost of Rs.4 crore each.

104. To increase the Gross Enrolment Ratio (GER) of

girl students, 23 girls’ hostels will be constructed in

Government Polytechnics in phased manner at a cost of

Rs.2 crore each.

105. 10 model schedule caste/schedule tribe

residential first grade colleges will be established along

with girls’ and boys’ hostels.

Page 40: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 39

106. Rs.25 crore to century old University

Vishweswaraiah College of Engineering (UVCE),

Bengaluru and Rs.5 crore to Dharwad Karnataka College

will be provided for infrastructure upgradation and

renovation.

107. On the occasion of silver jubilee of Hampi

Kannada University, Rs.25 crore will be provided for

basic infrastructure and development.

108. Rs.3 crore grants will be provided to Mahayogi

Vemana Chair of Karnataka University.

109. Study Chair will be established in Karnataka

University, Dharwad in the name of revolutionary

Rajashree Saahumaharaj who introduced reservation for

the first time in the country to ensure social justice.

110. Free laptops will be supplied to students getting

admission in the year 2017-18 to Engineering, Medical,

Polytechnic and First Grade Colleges. From this, around

1.5 lakh students will be benefitted.

111. It is important that our higher education

institutions should have world class infrastructure in

order to provide high quality education to our youth. To

fill the gap in the basic infrastructure, medium term

financial plan will be formulated and implemented.

112. Byari Study Chair will be established in

Mangalore University.

113. In 2017-18, an outlay of Rs.4401 crore has been provided to Higher Education Department.

Page 41: Budget Speech 17-18 - Eng. 14-3-2017

40 Budget 2017-18

Health and Family Welfare

114. Achievements during the last 4 years

• Health and Family Welfare department is having

the mission of providing quality health services.

Infant mortality rate has reduced from 31 to 28.

The maternal mortality rate has been brought

down from 178 to 133 per 1 lakh live births. The

mortality rate of infants below 5 years is 31 per

100 live births. Karnataka is one among 6

States to have achieved the millennium target of

35. Under the vaccination programme, the rate

of fully vaccinated children has been increased

from 80 to 91.4.

• Under ‘Vajpayee Arogyashree’ scheme, 1.5 lakh

beneficiaries have been treated for chronic

diseases.

• Under ‘Shuchi’ scheme, 13 packets containing

10 sanitary pads have been provided per annum

free of cost to 72.7 lakh adolescent girls to

maintain hygiene during menstruation.

• Under ‘Arogya Kavach (108)’ scheme, 1.7 crore

patients have obtained ambulance services.

• Under Dialysis scheme, dialysis has been

carried out 1.6 lakh times for 31,561 patients

having renal failure.

• Under Non-Epidemic Diseases’ diagnosis

programme, 66.5 lakh people have undergone

investigation and treatment is being given to the

persons diagnosed with Diabetes and High B.P.

Page 42: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 41

New Schemes for the year 2017-18

115. It is proposed to pay honorarium of Rs.1,000 to

ASHA workers in addition to the existing payment of

incentive to reduce the rate of infant and maternal

mortality.

116. It is proposed to bring co-ordination among

various health insurance schemes of the Government

and to include all the families under Universal Health

Coverage. Yashaswini Arogya Suraksha Scheme will be

continued as per the existing rules. But, this scheme

will be brought under the control of Health and Family

Welfare Department.

117. Five Super Speciality Hospitals will be

established in Davanagere, Ramanagara, Tumakuru,

Vijayapura and Kolar at a cost of Rs.25 crore to treat the

patients suffering from Cancer, Heart diseases and other

lifestyle diseases.

118. Wenlock hospital, Mangalore, will be upgraded

at a cost of Rs.10 crore.

119. Regional Advanced Children Health Institute

will be established in Wenlock hospital, Mangalore, on

the lines of Indira Gandhi Children Hospital, Bengaluru,

at a cost of Rs.3 crore to provide additional health

facilities to the children of Mangalore and the

surrounding areas.

120. To provide treatment for spinal injury and

trauma care, 20 bedded poly trauma centre and 10

bedded ICU having ventilator facility will be established

in Sanjay Gandhi Accident, Trauma and Rehabilitation

Centre at a cost of Rs.14.32 crore.

Page 43: Budget Speech 17-18 - Eng. 14-3-2017

42 Budget 2017-18

121. At a total cost of Rs.15 crore, 150 Health

Extension Dispensaries having one doctor, one nurse

and one pharmacist will be established each at a cost of

Rs.10 lakh in villages where the distance from the

Primary Health Centre is more than 10 kms,

122. One ambulance service will be provided for a

radius of 10 to 15 km for population of every 35000 by

integrating 711 ambulance working under GVK EMRI

and 827 ambulance working under State health

department.

123. To provide health services to the people of 1200-1300 villages having 40% or more population of

Scheduled Caste and Scheduled Tribe, 64 Mobile Health

Units will be commenced during the next 2 years at a

cost of Rs.25.34 crore using SCSP/TSP grants.

124. Ayush Drugs Manufacturing Centre will be

established in the premises of Belagavi City

Immunization Centre at a cost of Rs.5 crore.

125. Mortuaries will be constructed in 150

Community Health Centres each at a cost of Rs.3 lakh,

at a total cost of Rs.4.5 crore.

126. Integrated Ayush Hospitals having 50 beds will

be established in Chitradurga and Chickmagaluru

District hospitals at a total cost of Rs.6 crore.

127. Under ‘Jana Aushadi Generic Medical Stores’

scheme, 200 generic medical stores will be commenced

to provide good quality generic medicine to the people at

a lower price.

128. A Pilot project will be implemented for using

Pharmacopeia in Heggadadevana Kote. Rs.2 crore is

Page 44: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 43

provided for the effective maintenance of health and

relief at the local level.

The following projects will be taken up under

National Health Mission

129. At present, Dialysis Centres are established in

20 district hospitals, 3 major hospitals and 34 taluk

hospitals. During the year, dialysis centres will be

established in the remaining 114 taluks.

130. It is proposed to establish Intensive Care Units

having 3 bedded capacity having ventilator facility in all

taluk hospitals to provide treatment in cases having

respiratory problem, serious illness and accidents. The

project will be taken up with funding from MPLADs, MLA

grants and grants from NHM.

131. To overcome the deficiency of specialized

doctors in Government hospitals, it is proposed to

commence DNB post graduate course in Government

colleges.

132. Blood Transfusion Units will be established in

10 district hospitals of Bagalkot, Vijayapura,

Chamarajnagar, Chickmagaluru, Chitradurga, Haveri,

Kodagu, Kolar, Tumkuru and Uttara Kannada at a cost

of Rs.6 crore to cater to the needs of the patients

suffering from dengue, malaria and other diseases.

133. Ayush Treatment Centres will be established in

all taluk hospitals to provide integrated, comprehensive

health service.

134. Totally 188 RO+UV drinking water facility will

be provided in all 21 district hospitals, 146 taluk

hospitals and 21 Community Health Centres.

Page 45: Budget Speech 17-18 - Eng. 14-3-2017

44 Budget 2017-18

135. At present, e-Hospital programme has been

implemented in 3 hospitals of the State. During the

year, this programme will be extended to 206

Community Health Centres and 2353 Primary Health

Centres at a cost of Rs.13.78 crore.

136. Under National Free Diagnosis Programme, free

diagnosis facility will be provided in all Government

hospitals. CT scan facility in 14 district hospitals and

MRI scan facility in 6 district hospitals will be provided.

137. Under Mother and Child Tracking System, to

reduce the rate of maternal and infant mortality,

Computer Tabs will be provided to 16,500 junior female

health assistants for data collection, storage and

transmission.

138. During 2017-18, a total grant of Rs.5118 crore

is provided for Health and Family Welfare Department.

Medical Education

139. Achievements during the last 4 years

• 6 new medical colleges with 150 seats each have

been commenced in Bidar, Kalaburagi, Koppal,

Karwar, Kodagu and Chamarajnagar.

• MBBS seats have been increased from 2155 to

3291 during the last 4 years. During the same

period, 2708 additional beds have been added in

Government Teaching Hospitals and Super

Speciality Hospitals of the State.

• 2 units of Jayadeva Institute of Cardiovascular

Sciences and Research have been commenced in

Kalaburagi and Mysuru.

Page 46: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 45

• One Trauma Care Centre having 210 bed

capacity has been established in the premises of

Victoria Hospital, Bengaluru.

• Peripheral Cancer Care Centre has been

established in Kalaburagi and Kidwai Cancer

Institute has been upgraded as State Cancer

Institute at a cost of Rs.120 crore which will be

functioning from the current year.

New Schemes for the year 2017-18

140. As announced in the budget 2014-15, the

construction of Super Specialty Hospitals having 250

bed capacity will be commenced during this year at a

cost of Rs.310 crore in three revenue divisions of

Kalaburagi, Mysuru and Belagavi- with 40% of

assistance from the Government of India.

141. A new Karnataka Institute of Endocrinology will

be established in Indiranagar, Bengaluru, using own

resources, at an estimated cost of Rs.35 crore.

142. A unit of Jayadeva Institute of Cardiovascular Sciences and Research will be started in the premises of

KIMS, Hubballi, at an estimated cost of Rs.5 crore.

143. Minto Super Speciality Hospital will be

developed at an estimated cost of Rs.10 crore.

144. Institute of Dermatology will be commenced in

the premises of Tuberculosis Hospital, Bengaluru, at an

estimated cost of Rs.10 crore to provide good treatment

to poor and needy patients.

145. VIMS Teaching Hospital, Bellary, will be

renovated at a cost of Rs.25 crore.

Page 47: Budget Speech 17-18 - Eng. 14-3-2017

46 Budget 2017-18

146. Nephro Urology Units will be commenced in

Kalaburagi and Mysuru with an estimated cost of Rs.10

crore each.

147. Construction work of 6 medical colleges in

Chitradurga, Bagalkot, Haveri, Yadgir, Chikkaballapur

and in Chickmagalur will be commenced.

148. Karnataka Knowledge Commission has

developed unique simulators for Nursing Training. This

will help the trainee nurses in creating awareness in

critical, terminal and heart related illness. It is proposed

to deploy such simulators across the State. For this

purpose, Rs.5 crore is earmarked.

149. During 2017-18, a total grant of Rs.2004 crore

is provided for Medical Education department.

Women and Child Development Department

150. Achievements in the last 4 years

• Revolving Fund being given to empower “Stree

Shakti Groups” (SHGs) has been increased from

Rs.5,000 to 25,000. 1.31 lakh groups have

been given revolving fund.

• For all Anganwadi children, alongwith

supplementary nutrient food, full cream milk is

distributed under “Ksheera Bhagya” scheme for

3 days in a week. This has benefited 38.21 lakh

children.

• Compensation for death being paid to

Anganwadi Workers and Helpers has been

increased to Rs.50,000.

• “Karnataka Makkala Nidhi” has been setup to

meet medical expense and to provide immediate

Page 48: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 47

compensation to children below 18 years of age,

subjected to sexual assault.

• Children Protection Policy has been

implemented for the educational institutions

setup in Karnataka.

• Reservation for Women in Karnataka Civil

Services direct recruitment has been increased

from 30% to 33%.

• Principal amount of loan advanced by

Karnataka State Women Development

Corporation to 10,788 women under 9 different

schemes implemented by it up to March 2013,

alongwith interest aggregating to Rs.8.25 crore

has been waived off.

• Monthly pension being paid to ex-Devadasis has

been increased from Rs.400 to 1500. Cost of

construction of residential unit has been

increased from the existing Rs.40,000 to Rs.1.5

lakh for rural areas and Rs.1.8 lakh urban

areas. An expenditure of Rs.17 crore has been

incurred for income generation activities.

• Monthly unemployment allowance of Rs.1,000 is

being paid to differently abled persons.

• Assistance for undergoing surgeries has been

increased from Rs.35,000/- to Rs.1 lakh under

Medical Relief Fund.

• Under “Vivaha Prothsaha Dhana” scheme, an

assistance of Rs.50,000/- is being given to a

normal person marrying a differently abled

person.

Page 49: Budget Speech 17-18 - Eng. 14-3-2017

48 Budget 2017-18

• 27 ladies hostels are functioning in 24 districts

to enable differently abled women/girl students

to get education/training.

• An expenditure of Rs.906 crore is being incurred

towards monthly nutrition allowance for 8.4

lakh differently abled persons.

• A committee constituted under the

chairmanship of Dr. Jayamala to make

comprehensive study about the conditions of

sex workers in Karnataka has submitted its

report to the Government. Important

recommendations of this committee are

incorporated in the current budget.

New Schemes in the year 2017-18

151. To meet the nutrition needs, it is proposed to

extend “Matru Poorna” scheme to all 30 districts of the

State where hot cooked meal is provided to pregnant and

lactating mothers from coming July. For this purpose

Rs.302 crore will be provided.

152. All children in Anganwadi will be provided eggs

for two days in a week from coming June. Rs.47 crore

will be spent for this.

153. Milk currently being distributed for 3 days in a

week under “Ksheera Bhagya” scheme will be distributed

for 5 days from coming July.

154. Honorarium of Anganwadi worker and helper

has been increased by Rs.1500 and Rs.750 between

2013-14 to 2016-17. In the current year this amount

will be increased by Rs.1000 and Rs.500 respectively.

For this purpose budget of Rs.115 crore is provided. To

Page 50: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 49

provide security to Anganwadi Workers and Helpers,

Accident Insurance Scheme will also be implemented by

Government of Karnataka.

155. In line with Special Treatment Units established

at District Hospitals, 145 Special Treatment Units at

Taluka Hospitals will be established for women and

children who are victims of rape and other atrocities,

over the next 2 years in association with Health

Department.

156. Under “Paalane” scheme, financial assistance

being given to HIV infected and affected children will be

enhanced from Rs.800 to Rs.1000 for 25,000 children.

157. Rs.4 crore will be provided for making the

Special Children Court child-friendly and for

construction of court in Bengaluru Urban District.

158. Following programs will be implemented by the

Differently Abled and Senior Citizens Empowerment

Department.

• Honorarium of 6022 Village Rehabilitation

Workers (VRW) will be enhanced from 2,000

to 3,000, honorarium of 176 Multiple

Rehabilitation Workers will be enhanced from

Rs.5,000 to 6,000 and 613 Urban Rehabilitation

Workers will be appointed on an honorarium of

Rs.3,000 per month.

• Under “Swavalambana” insurance scheme 1.12

lakh differently abled persons will be covered by

paying the annual premium of Rs.357 per

beneficiary for which budget of Rs.4 crore has

been provided.

Page 51: Budget Speech 17-18 - Eng. 14-3-2017

50 Budget 2017-18

• Aids and appliances will be distributed to

20,000 Senior Citizens.

• Financial assistance provided under “Sadhane

Scheme” will be enhanced from Rs.30,000/- to

Rs.50,000/-.

• Day Care Centers for children with autism,

cerebral palsy, mental retardation and multiple

disability will be set up in 4 divisions.

• Monthly grant per child given to Special Schools

run by Non-Governmental organizations (NGOs)

for hearing impaired and blind and mentally

retarded children under Child Centric Scheme

will increased by Rs.1200.

• Improved two wheelers given to Differently Abled

will be increased from 2000 to 4000 in the

current year.

159. Rs.148.74 crore is provided to Karnataka

Women Development Corporation for implementing the

following new programs apart from ongoing ones.

• “Saviruchi” mobile canteens will be established

in all 30 districts through “Zilla Stree Shakti

Okkutas”.

• Necessary equipments will be provided by

purchasing at unit cost of Rs.5,000 for 10,000

Fair Price Shops owned/jointly owned by women

under “Parikara Sahayadhana” scheme.

• An incentive of Rs.20,000 per head given to

ex-devadasis, sex workers and transgenders

under SCSP is modified and a subsidy of

Rs.25,000 and a loan of Rs.25,000 per capita

Page 52: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 51

will be given. The same pattern will be extended

to “Dhanashree” Scheme also.

160. In 2017-18, a total amount of Rs.4926 crore is

provided to Women and Child Development Department.

Social Welfare

J°è eÁw ¥ÀzÀÞw fêÀAvÀªÁVgÀÄvÀÛzÉAiÉÆÃ

C°è CªÀPÁ±ÀUÀ¼ÀÄ ªÀÄvÀÄÛ ¸ÁªÀÄxÀåðUÀ¼ÀÄ ¹Ã«ÄwUÉƼÀÄîvÀÛªÉ.

-qÁ: gÁªÀÄ ªÀÄ£ÉÆúÀgÀ É̄ÆûAiÀiÁ

161. Achievements in the last 4 years.

• For the all-round development of Scheduled

Caste and Scheduled Tribe communities, a

historical law, The Karnataka Scheduled Caste

Sub-plan and Tribal Sub-plan Act, 2013 has

been implemented. Funds are reserved in

proportion to the population at 17.15% and

6.95% for these communities. During 2008-09

to 2012-13, Rs.26,840 crore was provided and

Rs.22,261 crore was spent under Scheduled

Caste Sub-plan and Tribal Sub-plan. During the

period from 2013-14 to 2016-17, Rs.60,350

crore has been provided and Rs.47,186 crore

has been spent under this plan.

• All SC/ST students are given admission in the

Hostels. Number of pre-matric and post-matric

hostels has increased to 2,205 from 2,095 in

2012-13. The number of students who have

taken admission in these hostels has increased

from 1.42 lakhs to 1.68 lakhs. Rs.995 crore has

been spent for construction of 157 new hostel

buildings and upgradation of 1,338 hostels by

Page 53: Budget Speech 17-18 - Eng. 14-3-2017

52 Budget 2017-18

undertaking repair works, construction of 686

additional rooms, 873 bath rooms and 883

toilets.

• 363 Morarji Desi Residential Schools/Kitturu

Rani Chennamma Residential Schools are

functioning for SC/ST students. Additionally

145 new schools were sanctioned last year

and 125 schools sanctioned in the name of

Dr. B.R. Ambedkar totalling 270 schools will

function from the next educational year. 1.6

lakh students will get admission in these

schools. During last 4 years, Rs.1,160 crore has

been spent for construction of 108 residential

school complexes and in 85 residential schools

repair works have been taken up.

• Prize money ranging from Rs.20,000 to

Rs.35,000 was disbursed to about 68,863

SC/ST students who have passed in first

attempt in First Class in PUC to Post Graduate

courses. For this purpose Rs.137 crore has been

spent.

• During last 4 years, Rs.1,457 crore has been

spent for providing loan and subsidy to 1.9 lakh

beneficiaries from Dr. B.R. Ambedkar

Development Corporation and Karnataka

Maharshi Valmiki Scheduled Tribe Development

Corporation.

• During last 4 years, 36,661 borewells were

drilled and 34,851 borewells were provided with

electricity connection. Under Land Purchase

scheme, 3,380 landless agriculture labourer

Page 54: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 53

families were given 4,502 acres of land by

purchasing at a cost of Rs.186 crore.

• Rs.1,190 crore has been sanctioned for the

construction of 7,600 Dr. B.R. Ambedkar

Bhavans, Dr. Babu Jagajeevan Ram Bhavans

and Valmiki Bhavans for the benefit of the

SC/ST Communities.

• In last 3 years, infrastructure facilities have

been provided for development of SC/ST

colonies under SCSP/TSP at a cost of Rs.2,485

crore by Public Works Department and Social

Welfare Department.

• During last 4 years, 1,133 SC/ST entrepreneurs

were given loan of Rs.572 crore at 4% interest

by Karnataka State Finance Corporation.

New schemes in the year 2017-18

162. 30 Morarji Residential Schools will be upgraded

to PUC level with science and mathematics subjects, at a

cost of Rs.1 crore to each district.

163. In 2012-13, the diet charges for pre-matric and

post-matric hostel students was Rs.750 and Rs.850 per

month respectively. During the present year, this

amount has been fixed at Rs.1,400 and Rs.1,500.

164. Skill development training will be imparted to 1

lakh SC/ST unemployed youth.

165. Book Banks will be established in SC/ST pre

and post-matric hostels for use of these students.

166. The Scholarship amount being paid to SC/ST

pre-matric day scholar students studying in 1st to 8th

classes will be increased by Rs.250. 6 lakh students will

Page 55: Budget Speech 17-18 - Eng. 14-3-2017

54 Budget 2017-18

be benefited by this programme at an estimated cost of

Rs.15 crore.

167. For effective implementation of programmes,

5 Districts Schedule Tribe Welfare Offices will be opened

in addition to the existing 14 District Offices.

168. The unit cost for drilling of borewells will be raised from Rs.2.5 lakhs to 3 lakhs under Ganga

Kalyana scheme for SC/ST communities and subsidy

will be enhanced from Rs.2 lakhs to Rs.2.5 lakhs. In

addition to this, assistance will be given to these

beneficiaries for Drip and Sprinkler irrigation and for

construction of Farm Ponds through Agriculture and

Horticulture Departments.

169. The existing unit cost of Rs.10 lakh will be

raised to 15 lakh under Land Purchase Scheme for

SC/ST landless agricultural labourers.

170. 1400 professionally qualified SC unemployed

youths 600 professionally qualified ST unemployed

youths will be given subsidy of Rs.2.5 lakh or 50% of

project cost, whichever is less, for starting

self-employment units with unit cost up to Rs.5 lakhs.

171. 3500 SC unemployed youth and 1500 ST

unemployed youth possessing driving license will be

given a subsidy upto Rs.3 lakh or 50% of the vehicle

cost, whichever is less, for purchasing Tourist Taxis.

The remaining amount can be availed as loan from

Banks.

172. 5 Beggar’s Relief Centers will be opened in

Haveri, Chamarajnagar, Hassan, Koppal and Yadgir

Districts by Central Relief Committee in addition to the

existing 14 Beggar’s Relief Centers.

Page 56: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 55

173. All basic infrastructures will be provided in the Safai Karmacharis localities, jointly with Urban

Development Department. Preference will be given to

children of Safai Karmacharis in admission to residential

schools run by Karnataka Residential Educational

Institutions Sangha (KREIS).

174. Health facilities will be provided to Safai

Karmacharis on the lines of Jyothi Sanjeevini Health

Protection Scheme.

175. Monthly training allowance paid to SC/ST law

graduates will be increased from Rs.2,000 to Rs.5,000.

176. Rs.15 crore grant will be provided for the

construction of Adhivasi Samudaya Bhavana in localities

where tribal people are residing in large numbers.

177. A corpus fund of Rs.5 crore will be provided to

Davangere Sevalal Trust.

178. Under Chief Minister’s Model Village

programme, grant will be provided for comprehensive

development of villages having population of 50% or

more of SC/ST communities by clubbing the welfare

schemes of various departments.

179. The unit cost for construction of houses for BPL families of SC/ST communities will be increased from

1.5 lakh to 1.75 lakh in rural areas and from 1.8 lakh to

2 lakh in urban areas. The differential cost shall be met

out of SCP/TSP grants allocated to the Housing

Department.

180. Rs.3 lakhs incentive will be given to widows

belonging to SC/ST communities in case they remarry.

Page 57: Budget Speech 17-18 - Eng. 14-3-2017

56 Budget 2017-18

181. Rs.2 lakhs incentive will be given to SC/ST

youth who marry among SC/ST inter sub-castes.

182. Considering the difficulties faced by the SC/ST entrepreneurs in furnishing collateral security to Banks

and KSFC while availing loans, the Government has

formulated a scheme for establishing a corpus fund of

Rs.100 crore with assistance from Credit Guarantee

Fund Trust for furnishing collateral security.

183. Special coaching will be provided in Computer

Education, English, Mathematics and Science subjects

for the students of SC/ST Hostels to enable them to

qualify in Competitive examinations.

184. Pre-examination coaching will be imparted to

SC/ST students for appearing in JEE/NEET/

GATE/GRE and other examinations for seeking

admission in National level educational institutions.

185. A proposal will be sent to the Government of

India under the provisions of Schedule V to the

Constitution of India, seeking approval for constitution

of Karnataka Tribal Advisory Council to give guidance

and advice to the State Government in formulating and

implementing developmental plans for Schedule Tribes.

186. The Cell constituted under the SCSP/TSP Act for effective implementation of various welfare schemes

will be strengthened.

187. Assistance will be provided for the development

of Jenukuruba, Koraga, Soliga, Kadukuruba, Erava,

Gowdalu, Hasaluru, Iruliga, Siddi, Malekudiya, Hakki-

Pikki, Thoda, Meda and other tribal communities and for

taking up self employment. For this, a grant of 200 crore

will be provided.

Page 58: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 57

188. Special rules will be framed for appointment of

the above tribal communities who live in forest and on

forest boundaries and possess knowledge about forest

conservation, for the posts of Guard, Watcher and other

posts, as their representation in Government

employment is low.

189. Rs.300 crore is provided to distribute Buffalo-Cow or Sheep-Goat to 1 lakh SC/ST at unit cost of

Rs.40,000 comprising subsidy of Rs.25,000 and loan of

Rs.15,000 at 4% interest, from Dr. B.R. Ambedkar

Development Corporation and Sri Maharshi Valmiki

Schedule Tribe Development Corporation, for the

economic development of SC/ST community.

190. Rs. 100 crore is provided for giving LPG

connections to 2 lakh SC/ST BPL families in

collaboration with Food and Civil Supplies Department.

191. In 2017-18, a total amount of Rs.6363 crore is

provided to Social Welfare Department.

Backward Classes Welfare Department

192. Achievements in the last four years

• Scholarships of Rs.319 crore have been given to

2.7 lakh students under Vidyasiri Scheme.

• Fees of Rs.1,106 crore have been reimbursed to

20.5 lakh backward class students.

• Scholarships of Rs.547 crore have been credited

to bank accounts of 38 lakh pre-matric and

12.1 lakh post matric students.

• IAS/KAS/Banking pre-examination training has

been given to 2,799 candidates at a cost of

Page 59: Budget Speech 17-18 - Eng. 14-3-2017

58 Budget 2017-18

Rs.27 crore, out of which 107 candidates have

been selected for IPS/IRS/Banking services.

• 99 students have been given Foreign Education

Scholarship at a cost of Rs.16.6 crore.

• 33,400 students have been benefited by

construction of 533 new post-matric hostels.

• Rs.230.5 crore has been given to 1,741

organisations for the construction of

Community Halls and student hostel buildings

under various community development

schemes.

• Construction of own buildings for 230 backward

class hostels has been taken up at a cost of

Rs.271.3 crore, out of which construction work

of 56 hostels has been completed and work for

174 hostels is under progress.

• Rs.238 crore has been given for the financial,

educational and infrastructure facilities to 1.63

lakh beneficiaries of nomadic/semi-nomadic

communities.

• For the economic development of Backward

Communities, loan/subsidy of Rs.765.2 crore

has been given to 2.10 lakh beneficiaries under

various schemes of D.Devaraj Urs Backward

Class Development Corporation.

• Irrigation facility has been provided to 50,267

acres of land of 20,107 small and marginal

farmers under Ganga Kalyana Irrigation Scheme

at a cost of Rs.284 crore.

Page 60: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 59

• Arrears of loan and interest amount due for

recovery from 4.98 lakh beneficiaries under all

the schemes of the Corporation from 1977 upto

13.5.2013 have been waived at a cost of Rs.514

crore.

New schemes in 2017-18

193. Construction of 300 post-matric hostels will be

taken up in phased manner and priority will be given to

completion of ongoing works. Rs.279 crore is provided

for construction of hostels.

194. Digital Libraries will be established at 202

Professional, Post-Graduate, Medical and Engineering

hostels with the help of e-Governance Department.

195. It is proposed to give one-time incentive of Rs.2

lakh each to the students of Backward Class

Communities getting admission to IIM, IIT, IISc and

other reputed national education institutions.

196. Incentives being given to the SSLC/PUC/Degree

and PG hostel students, who secure first class in first

attempt, will be increased from Rs.200 to Rs.1,000, from

Rs.300 to Rs.1,500, from Rs.400 to Rs.2,000 and from

Rs.500 to Rs.3,000 respectively.

197. Books and stationery, cutting and uniform

charges will be increased from Rs.200 to Rs.400, Rs.150

to Rs.300 and Rs.499 to Rs.1,000 respectively for hostel

students.

198. Monthly diet charges will be increased by

Rs.100 per student per month at Government

hostels/Residential and Ashram schools.

Page 61: Budget Speech 17-18 - Eng. 14-3-2017

60 Budget 2017-18

199. To enhance the chances of getting selected to the Armed Forces, it is proposed to train 3,000

candidates.

200. The following programmes will be taken up

through D.Devaraj Urs Development Corporation.

• Financial assistance of Rs.40,000 (Rs.10,000

subsidy and interest @ 4% on loan of Rs.30,000)

will be provided to backward class widows to

take up economic activities.

• Rs.60 crore grants will be provided for the

development of Madivala, Savitha Samaja,

Thigala and Kumbara communities.

• For 1000 backward class unemployed youth

having driving license, subsidy of Rs.3 lakh or

50% of the cost of the vehicle, whichever is less,

will be provided for the purchase of taxi. The

balance amount can be availed as loan from the

banks.

• Financial support will be given to arrack

vendors, Murthedara, Ediga, etc. communities,

which have lost employment due to ban on

arrack sales, to take up self-employment.

201. Rs.25 crore will be provided to Vishwakarma

Development Corporation. Alongwith the programmes

under implementation, the following new programmes

will be taken up.

• Under Women’s Micro Credit Loan Scheme, loan

of Rs.10,000 at 4% interest and subsidy of

Rs.5,000 will be provided at a unit cost of

Rs.15,000.

Page 62: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 61

• A grant of Rs.1.5 lakh each will be provided to

300 persons of Vishwakarma Community

working as blacksmiths, goldsmiths and

carpenters to upgrade their professional skills

and to buy modern equipments.

• Under ‘Panchavrutthi Financial Assistance

Scheme’ the unit cost of Rs.50,000 will be

enhanced to Rs.1,00,000.

202. Karnataka Uppara Development Corporation

will be established for the comprehensive development of

Uppara and its sub-castes.

203. Ambigara Chowdaiah Development Corporation

will be established for the comprehensive development of

Bestha, Kabbaliga, Koli, Gangamatha, Mogaveera and

their sub-castes.

204. Sangolli Rayanna Sainik School will be

established in Bylahongala Taluk in collaboration with

Union Defence Ministry.

205. Monthly training allowance to law graduates

will be enhanced from Rs.2,000 to Rs.4,000.

206. The programmes will be conducted at taluk

levels to enhance the awareness and guide the students

of post-matric hostels about IAS, IPS, KAS, Banking, etc.

competitive exams. Rs.2 crore is provided.

207. The academic management of 1st to 5th

standards of Ashram/Residential schools being

managed by Departments of Backward Class, Social

Welfare and Schedule Tribe Welfare will be transferred to

Education Department.

Page 63: Budget Speech 17-18 - Eng. 14-3-2017

62 Budget 2017-18

208. D.Devaraj Urs Research Centre will be made an

autonomous institution.

209. Rs.100 crore will be provided for the

development of Budbudke, Gondhali, Helava,

Pichakuntla, Jogi, Golla, Shikkalgar, Haavugara, etc.

nomadic and semi nomadic tribes.

210. Foreign education scholarship will be

sanctioned to 100 students.

211. During 2017-18, a total amount of Rs.3154

crore is provided to Backward Classes Welfare

Department.

Minority Welfare and Haj

212. Achievements in last four years

• As the procedure for renewal application has

been simplified after the adoption of user-

friendly online system, the number of students

receiving pre-matric, post-matric and merit cum

means scholarships has considerably increased

from 5.5 lakh to 13.18 lakh. In India, Karnataka

is the only State providing scholarship to all the

eligible students.

• Under Foreign Education Scholarship Scheme,

scholarship of Rs.20 lakh is provided to each

student, the number of students has increased

from 20 to 357.

• In last 13 years, only 124 pre-matric,

post-matric hostels were functioning. In last

four years, 150 new hostels have been opened

and 16,300 students have benefitted.

Page 64: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 63

• In last 13 years, 47 Morarji Desai Residential

Schools and 3 pre-degree colleges for Minorities

were functioning. In last four years, 40 new

Residential Schools/Colleges have been opened

for Minorities and 17,210 students have

benefitted.

• Rs.125 crore has been spent in the last 4 years

under Bidayi Scheme and 25,000 beneficiaries

have been benefitted.

• For the Shadimahal/Community Halls, Rs.137

crore has been provided in last 4 years and 580

organisations have been benefitted. Action has

been taken to complete 200 incomplete

Shadimahals with an allocation of Rs.50 crore.

• Under ‘Arivu’ scheme, financial assistance of

Rs.230 crore has been provided, due to which

78,536 students receiving technical and medical

education have benefitted.

• Under Muezzins and Pesh Imam Honorarium

Scheme, honorarium of Rs.108 crore has been

given and 5111 Imams and 4,964 Muezzins are

getting the benefit every year.

• Rs.79 crore allocation has been made for the

protection of Wakf properties in the State and

3,653 organisations have benefitted. Digitisation

work of Wakf properties is under progress and

second survey work has also been taken up.

Out of total 12,090 Wakf properties, survey of

8,129 properties has been completed and survey

of 3,217 properties is in progress.

Page 65: Budget Speech 17-18 - Eng. 14-3-2017

64 Budget 2017-18

• In last 4 years, allocation of Rs.267 crore has

been made under Christian Development

Scheme which has been spent on subsidy for

repairs/renovation of 59,036 churches,

community halls, skill development programme,

scholarship to Christian students, orphanages/

old age homes and nursing.

• Construction of Haj Bhavan in Bengaluru has

been completed with an additional grant of

Rs.47 crore and opened to Haj Yatris.

New schemes in 2017-18

213. Rs.20 crore will be provided to construct

Maulana Abul Kalam Azad Bhavan, with an auditorium,

to house all offices of Minority Department in Bengaluru,

Urdu Convention Hall and Cultural Centre.

214. A Training Centre will be opened in Bengaluru to impart training to the Management and staff of the

Wakf institutions.

215. To bring back the drop out children of minority

community, 200 Moulana Azad Model Schools will be

opened in next 2 years in the places where Government

Urdu schools have been already closed.

216. With a view to provide protection to working

women, 10 working women hostels at a cost of Rs.2

crore each will be opened in Bengaluru and other

Corporation areas.

217. Subsidy is being provided to Wakf,

semi-Government Organisations and Trusts under the

Shadimahal scheme. In future, for the Wakf and semi

Government Organisations, Shadimahal/Samudaya

Page 66: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 65

Bhavan will be constructed by the Department with a

subsidy of Rs.2 crore at district headquarters, Rs.1 crore

at taluk headquarters and other areas, which will

eventually be handed over to the concerned

organisations.

218. Financial assistance will be provided to the

other minority community organisations on the lines of

financial assistance being given to Christian

Organisations, which are striving for welfare of

differently abled persons, HIV/Aids patients, orphanages

and old age homes.

219. It is proposed to provide one-time incentive of

Rs.2 lakh each to students of minority community who

join reputed national level education institutions like

IIM, IIT, IISc, etc.

220. Along with the above mentioned programmes,

the following programmes will be implemented.

• 20 new Minority Morarji Desai Residential

Schools, 5 pre-University colleges, 2 Adarsh

Schools and 25 Post Matric Boys/Girls Hostels

will be opened for the students of the minority

communities.

• 15 Hostels/Model/Adarsh Schools/Residential

Colleges will be started in the places where own

buildings have been constructed under MSDP

Scheme.

• Food allowance will be increased by Rs.100 to

each student at Government Pre Matric, Post

Matric and Residential Schools/Colleges.

Page 67: Budget Speech 17-18 - Eng. 14-3-2017

66 Budget 2017-18

• Digital libraries will be opened at 100 Minority

Community Hostels/70 Residential Schools/11

Colleges in collaboration with KSWAN.

• To organise various programmes and to protect

the culture and tradition of Sikh community, a

Cultural Centre will be set up at Bidar on the

occasion of 350th Birth Day Celebration of Guru

Govind Singh Ji, for which Rs.5 crore will be

provided.

• A grant of Rs.10 lakh will be provided for the

renovation of Sikh Gurudwaras.

• Rs.175 crore will be provided for the

development of Christian Community.

Alongwith the ongoing schemes, compound wall

and basic infrastructure will be provided for the

Christian graveyard.

• Under Skill Development Scheme, incentives will

be provided to the unemployed youth for

training in journalism, students who are getting

comprehensive training for the competitive

exams for IIT/IIM and degree level. Preparatory

training will be given to 1,000 candidates to join

Armed Forces and preparatory training will be

given to minority students through various

Government organisations.

• A grant of Rs.2 crore will be provided to Muslims

Boys’ and Girls’ Orphanage, Ashok Road,

Mysuru for improvement of basic amenities and

academic facilities.

• A grant of Rs.2 crore will be provided for

infrastructure development of Religious

Page 68: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 67

Pilgrimage Centre and Rehabilitation Centre

at Murugamalla, Chinthamani Taluk,

Chikkaballapur District.

• Honorarium to Pesh Imams will be increased

from Rs.3,100 to Rs.4,000 and honorarium to

Muezzins will be increased from Rs.2,500 to

Rs.3,000.

221. A grant of Rs.330 crore will be provided to

Minorities Development Corporation, in which, along

with the ongoing schemes, the following new schemes

will be taken up.

• For the minority small and marginal farmers,

modern agriculture implements like tillers, rot

iron plough, drills, weeding machines, pumpset

tractor, etc. will be given at a unit cost of

maximum Rs.1 lakh with 50% subsidy.

• Thrust will be given to animal husbandry and

financial assistance at a unit cost of Rs.40,000

with 50% subsidy will be given for agriculture

related activities like dairy farm, poultry farm,

sheep rearing, etc. to create a means of

sustained income for the members of religious

minority.

• Training incentives and infrastructure support

will be provided for auto service, automobiles,

bidri and silk activities.

• Under “Mane Malige” scheme, it is proposed to

implement a loan scheme at a unit cost of Rs.5

lakh with subsidy of 50% and loan of 50%, for

the person belonging to special/weaker sections.

Page 69: Budget Speech 17-18 - Eng. 14-3-2017

68 Budget 2017-18

• Subsidy of Rs.3 lakh each will be given to 500

beneficiaries to buy taxies and bank loan will be

given for the balance amount.

222. Rs.800 crore action plan will be formulated and

implemented for providing basic infrastructure facilities

in the areas predominantly inhabited by the minorities.

223. Guarantee will be given by the Government to

enable Karnataka Minority Welfare Community to avail

loan of Rs.150 crore from National Minorities

Development Corporation for its activities.

224. A programme on Kerala Model will be

implemented to create self-employment for the

unemployed persons returned after working from the

Gulf countries.

225. Monthly training allowance of law graduates will

be enhanced from Rs.2,000 to Rs.4,000.

226. Under Chief Minister Skill Development

scheme, training will be given to 75,000 minority youth.

227. Rs.10 crore grant will be provided to establish Haj Bhavan in Mangaluru.

228. During 2017-18, with a provision of Rs. 2,200

crore for development of Minorities, a programme for

Rs. 2,750 crore will be taken up.

Housing

229. Achievements during last four years

• As announced in the election manifesto, in order

to make Karnataka hut-free State, with a target

of construction of 3 lakh houses every year, it

was targeted to construct 15 lakh houses during

Page 70: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 69

5 years. By the end of March 2017, construction

of 11 lakh houses will be completed. By the end

of March 2018, construction of 15.5 lakh

houses will be completed.

• Under House Sites Scheme, 44,500 house sites

have been distributed.

New Schemes for 2017-18

230. 7 lakh houses will be sanctioned under different schemes. Out of which, 6 lakh houses in rural areas

and 1 lakh houses in Bengaluru will be constructed.

231. To commemorate 125th birth anniversary of

Dr. B.R. Ambedkar, during the year 2017-18, housing

facility will be provided to all eligible houseless Schedule

Caste/Schedule Tribe beneficiaries having sites, who

apply under Dr. B.R. Ambedkar Nivas scheme.

232. Chief Minister’s 1 Lakh Bengaluru Housing Scheme will be implemented in Bengaluru. As per this

scheme, amount realized from the sale of plots/houses

developed in an area of upto 25% of the available land

will be utilized to subsidize affordable housing for urban

poor in Bengaluru. Similar model will be extended to

provide affordable housing facility in other cities/towns.

233. It is proposed to develop house sites in

partnership with private land owners in 60:40 ratio

under “Indira Rural House Sites Scheme”.

234. Construction of 50,000 houses will be taken up through Karnataka Slum Development Board.

235. In 2017-18, a total outlay of Rs.4708 Crore is provided to housing department.

Page 71: Budget Speech 17-18 - Eng. 14-3-2017

70 Budget 2017-18

Labour

236. Achievements during last four years

• Minimum wages have been revised for 47

scheduled employments thereby benefiting 2.4

crore employees.

• 7.3 lakh building and other construction

workers have been registered. Out of which,

1.43 lakh registered construction workers have

been provided financial assistance of Rs.139

crore.

• In order to implement Ease of Doing Business

norms and to bring transparency in the

compliance system, on-line services have been

introduced under various Acts.

• Facilities under ESI Scheme have

been expanded to the areas of all the 30

districts including Bidar, Chikkamagaluru,

Chikkaballapura and Kodagu districts during

current year. Till 2016-17, 22.46 lakh insured

persons and 112 lakh dependents have been

provided with medical facilities under ESI

scheme in the State.

New schemes for 2017-18

237. Government will initiate steps for ensuring

100% preference in the employment of Group C & D jobs

to Kannadigas and 5% for differently abled in the private

sector.

238. “Rajya Balakarmika haagu Kishora Karmika Paddhathi Nirmulana Parishkrutha Kriya Yojane” will

be formulated during 2017-18. Through this action

Page 72: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 71

plan, steps will be taken to declare Karnataka as “Child

labour and adolescent labour free” State in next 5 years.

239. ‘Ashadeepa Yojane’ will be implemented with a

noble objective to provide employment to the workers

belonging to schedule caste and schedule tribes in

private enterprises. Under this scheme, government will

bear employee’s share of ESI and provident fund

contribution of newly employed scheduled caste and

scheduled tribe candidates. Initially Rs.5 crore will be

provided for this purpose under schedule caste sub

plan/schedule tribe sub plan.

240. It is proposed to provide benefits to hamals,

street vendors, domestic workers and rag pickers under

“Accident Relief Scheme” and “Provident Fund Pension”

by providing smart card at a cost of Rs.10 crore.

“Comprehensive provident fund cum pension scheme

linked with housing scheme” will be implemented for

registered building construction workers.

241. “Karnataka State Commercial Vehicle Drivers’

accident benefit scheme” will be revised as “Karnataka

state private commercial transport workers accident

benefit scheme” by including conductors and cleaners

along with drivers to bring in 30 lakh additional

beneficiaries under this scheme in coming 2 years. For

this purpose, Rs.33 crore will be provided.

242. Action will be taken to increase the retirement

age of private sector employees from 58 to 60 years.

243. e-surakshathe-2 scheme will be implemented

to provide services of Factories, Boilers, Industrial Safety

and Health departments in a fault-free, speedy and

friendly manner.

Page 73: Budget Speech 17-18 - Eng. 14-3-2017

72 Budget 2017-18

244. Training and Skill Development Cell will be

established to prevent industrial and chemical accidents

and occupational health hazards.

245. Action will be taken to establish “Hazardous

Industries Monitoring Cell” in Boilers, Industrial

Safety and Health departments to stop loss to

environment and workers/public health hazardousness

by controlling disasters that may happen due to

hazardous chemicals.

246. Employees State Insurance services in all

districts within the resources limit provided by

Employees State Insurance Corporation will be reformed.

This will benefit 1.2 crore registered in-patients and

their family members. Following activities will be taken

up in the next three years.

• Commencement of 61 new ESI dispensaries in

the State.

• Increase and upgrade bed capacity of

Davangere, Hubli and Belagavi ESI hospitals to

100.

• Upgradation of Indiranagar ESI hospital

and commencement of Super Specialty

Departments.

• Commencement of Ayush departments in all ESI

hospitals.

• Maintenance of Dialysis, ICU, MICU, PICU

departments in all ESI hospitals by out-

sourcing.

Page 74: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 73

247. In 2017-18, an outlay of Rs.469 crore has been provided to Labour Department.

Skill Development

248. Achievements during last year

• Skill Development, Entrepreneurship and

Livelihood Department has been established to

bring all skill development programs of all the

departments of the State under one department.

• By pooling grants of all departments under

“Chief Minister’s Kaushalya Karnataka

Scheme”, skill development programmes of all

departments have been converged and are being

implemented from 2016-17. With a grant of

Rs.395 crore, 1.18 lakh beneficiaries have been

trained.

• During the last four years, 2.2 lakh students

have joined the work force by obtaining training

in Industrial Training Institutes in the State.

• Equipment kits, stationary, books and laptops

have been provided to 68,500 scheduled

caste/scheduled tribe students at a cost of

Rs.224 crore.

• 100 new Government Industrial Training

Institutes have been started and 8400

candidates have been facilitated to get training.

• 258 Government Training Institutes have been

modernized at a cost of Rs.78 crore by providing

equipments.

Page 75: Budget Speech 17-18 - Eng. 14-3-2017

74 Budget 2017-18

• Buildings are being constructed for 64

Government Industrial Training Institutes under

NABARD – RIDF programme at a cost of Rs.166

crore and sanction has been accorded for 43

building construction works at a cost of Rs.88

crore.

• 11,835 short term training and 19,500 long

term training programmes have been taken up

by GTTC

New schemes for 2017-18

249. Skill Development Mission will be launched

with an allocation of Rs.200 crore, with following

objectives-

i. 5 lakh youth will be trained under existing

different skill development schemes under Chief

Ministers’ Karnataka Skill Development

Programme based on demand survey. Under

this, 20% scheduled caste, 7% scheduled tribe

and 15% minority youth will be trained.

ii. To empower and facilitate gainful employment to

youth, it is proposed to provide vocational skill

training under Chief Minister’s Kaushalya

Karnataka Yojane. Under this scheme, 2.50

lakh youth will be skilled and employment

opportunity will be made available to at least,

70% of them.

iii. “Chief Minister’s Karnataka Livelihood

Scheme” will be started as a “Local to Global”

initiative. Skill training, support in design and

marketing will be provided to 50,000 local

Page 76: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 75

artisans, especially women, in local handicrafts,

handloom and other sectors for their livelihood.

iv. To encourage apprentice training programme

under Karnataka Apprenticeship Scheme, State

Government will reimburse stipend of Rs.1,000

per month to each apprentice to impart training

to 50,000 students in stages.

v. “Centres of Excellence” in relation to skill

development will be established to enhance

quality, sustainability, accessibility, and

industry linkages with focus on placements. It

is proposed to upgrade 34 employment

exchanges by providing necessary infrastructure

and human resources in order to provide skilled

persons as per the demand of the industry.

vi. Skill University will be established under Public

Private Partnership model for promoting

research on vocational training, training of

trainers, development of curriculum etc.

vii. A grant of Rs.5 crore will be provided for

extension of skill development centres

established under Schedule Caste and Schedule

Tribe Industrialists and Entrepreneurs’

Association.

250. New Industrial Training Institutes will be

established at Chinthamani, Gubbi, Karkala,

Narasimharajapura, Mudigere, Rayabhaga, Yallapura,

Mudhol, Shahapur, Surpur and Manvi taluks where

there are no Government or aided ITIs.

Page 77: Budget Speech 17-18 - Eng. 14-3-2017

76 Budget 2017-18

251. One time upgradation of all existing equipments

of ITIs as per normative standards with an expenditure

of Rs.228 crore will be taken up.

252. In 2017-18, an outlay of Rs.1332 crore has been provided to Skill Development Department.

Kannada and Culture

PÀ£ÀßqÀPÁÌV PÉÊ JvÀÄÛ

¤£Àß PÉÊ PÀ®àªÀÈPÀëªÁUÀĪÀÅzÀÄ.

- PÀĪÉA¥ÀÄ

253. Achievements during last four years:

• Head office and district offices of Kannada and

Culture Department have been brought under a

user-friendly and environmental-friendly,

transparent e-administration.

• On the occasion of 125th birth anniversary of

Dr.B.R.Ambedkar, compendium of all writings

and speeches of Dr. B.R. Ambedkar have been

printed in 22 volumes through Kuvempu

Bhasha Bharathi Authority and have been freely

distributed to all the hostels in the state.

• About 21,644 Vachanas of 259 Vachanakaras of

12th century Vachana literature genre that are

available, have been uploaded to a user-friendly

medium. Out of this, music has been composed

for 1000 vachanas and the audio is available on

the web-site.

• About 13967 Keerthanas of 157 Keerthanakaras

of 16th century Daasa literature genre that are

Page 78: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 77

available, have been converted into Unicode

system and uploaded to a user-friendly web-site.

• Collection and publication of Thathvapadas in

50 volumes has been taken up through National

Saint-Poet Kanakadasa Study and Research

centre and printing/publication of volumes are

in different stages.

• Considering the requests of writer-artists who

are in the final years of their life, 5130 persons

have been sanctioned monthly pension. Annual

sanction limit of monthly pension has been

enhanced from 400 to 1000. Monthly pension

has been enhanced from Rs.1000 to Rs.1,500.

• B.V.Karanth award has been instituted to

recognize and honour amateur theatre

performers and is being conferred by identifying

achievers.

• Sangolli Rayanna award has been instituted to

recognize and honour strugglers and organizers

and is being conferred by identifying achievers.

New schemes for 2017-18

254. To encourage literary talent in youngsters, to help young and upcoming writers and to write stage

plays with regard to the subject matters relating to

challenges and problems faced by children, a platform

will be created at a cost of Rs.3 crore.

255. Lakkundi Development Authority will be

established at a cost of Rs.3 crore to develop Lakkundi

which was the capital of Chalukya dynasty and also the

birth place of Atthimabbe, the patron of Kannada

literature.

Page 79: Budget Speech 17-18 - Eng. 14-3-2017

78 Budget 2017-18

256. To conserve and popularize the Bayalata art form, separate Bayalata Academy will be established in

North Karnataka.

257. Complete literary works of Sri M.M. Kalaburgi

will be published through Fa.Gu. Halakatti Research

Centre of Vijayapura.

258. Corpus fund will be set up to maintain the

Kannada Study Centre established by the department at

Jawaharlal Nehru University. For this purpose, Rs.5

crore will be earmarked.

259. Rs.20 crore has been earmarked for completion

of auditorium and other construction works and

construction of auditoriums in new districts.

260. Rs.20 crore will be provided to organize World

Kannada Conference to commemorate 60 years of

unification of Karnataka State.

261. 6 new well equipped class rooms will be

constructed at a cost of Rs.10.96 crore at

Charamarajendra Government Audio Video College,

Mysore.

262. Rs.2 crore will be provided for the construction

of memorial at Yadgir in memory of freedom fighter Sri

Kollur Mallappa.

263. To commemorate the memorable services of the

former Union Minister and the first Chief Minister of the

State, Sri K.C.Reddy, a memorial will be established at a

cost of Rs.2 crore.

264. Rs.50 crore will be provided to the Border Area

Development Board.

Page 80: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 79

265. In 12th century, Manteswamy, Siddappaji,

Rachappaji and other sharanas brought a revolution by

striving hard to uplift the exploited and the

downtrodden. To study the principles and ideas

contributed by them to the society, it is proposed to

establish study centre in their name. Rs.3 crore will be

provided for development of this place and to provide

lodging and other infrastructure for the devotees.

266. Grant of Rs.2 crore will be provided for the

development of tomb of Sri Shahaji Maharaj, father of

Chathrapathi Shivaji and to develop it as tourist centre.

267. In 2017-18, an outlay of Rs.424 crore has been provided to Kannada and Culture Department.

Youth Empowerment and Sports

268. Achievements during last four years

• In the last four years, Youth Empowerment

and Sports Department has established

international standard synthetic athletic tracks

at Mysuru, Udupi, Mudabidare, Kalaburagi and

Dharwad district stadiums; synthetic football

turf in Bellary city; synthetic hockey turf in

Ponnampete in Coorg district and Mysuru;

modern swimming pools at Madikeri, Udupi,

Mudabidare, Gangavathi, Harihara and

Vidhyanagar - Bengaluru; sports hostels at

Chamarajanagara, Mysuru, Udupi, Davanagere,

Haliyala and Dharwad; indoor stadiums at

Gundlupet, Jamakhandi, Bhadravathi,

Hirekeruru, Chikkaballapur, Kolar and

Vidhyanagar - Bengaluru and four new sports

schools have been constructed at Kalaburagi,

Page 81: Budget Speech 17-18 - Eng. 14-3-2017

80 Budget 2017-18

Chikkaballapur, Madikeri and Bellary at a cost

of Rs.64.8 crore.

• Since 2014-15, ‘Karnataka Kreeda Rathna’

award has been established with a cash price of

Rs.1 lakh to encourage rural Desi sports.

Financial assistance of Rs.1 lakh each has been

distributed till now by identifying 335 youth

organizations that have made considerable

contribution to development of their local

school.

• Monthly pension paid to former wrestlers and

sportspersons has been doubled in 2014, which

has helped 1,400 former sportspersons. Sports

scholarship has been enhanced from Rs.1,000

to Rs.10,000.

• To encourage and to provide necessary support

to the young sportspersons, Karnataka State

Olympic Games has been organized in Hubli-

Dharwad city after 7 years.

New schemes for 2017-18

269. To encourage best performance at national and

international level, Rs.10 crore will be earmarked to give

assistance of Rs.1 lakh each to select 1000 qualified

talented sports persons.

270. Four Sports Academies for basket ball at

Vidhyanagar - Bengaluru, swimming at Udupi, tennis at

Mysuru and mountaineering at Chitradurga will be

established at a cost of Rs.1 crore each. In addition,

Badminton and Golf Academies will be established on

Public Private Partnership model. 2 Sports Science

Centres will be established at a cost of Rs.2 crore each.

Page 82: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 81

Rs.5 crore grants will be provided to develop Aqua

Sports Centre at Varuna Lake in Mysuru on Public

Private Partnership model.

271. Rs.8 crore grants will be earmarked to provide

modern state of art gymnasium facilities in four sports

hostels.

272. Fully furnished sports hostels will be provided separately for women athletes at a cost of Rs.1 crore in

each division. Rs.4 crore will be provided to establish

modern gymnastic facilities at Belagavi and Mysuru at

Rs.2 crore each.

273. To encouraged differently abled sportspersons, Rs.2 crore allocation will be made towards providing

sports kits and another Rs.2 crore to make sports

infrastructure differently-abled friendly.

274. Cash prize for the Olympics medal winners will

be increased to Rs. 5 crore for gold, Rs. 3 crore for silver

and Rs.2 crore to bronze medals. Olympic medal winner

will be given group ‘A’ posts and Asian and

Commonwealth Games medal winners will be given

group ‘B’ posts in State Government departments.

275. ‘Karnataka Kreeda Poshaka Prashasthi’ with

Rs.5 lakh each will be instituted from this year to

identify and honour 10 sports promoters annually.

276. All ongoing taluka stadium works will be

completed on priority. Grant Rs.20 crore is provided for

the same.

277. A new scheme named “Yuva Chaithanya” will be

launched to create a conducive environment for

participation of rural youth in healthy activities. In

coming 3 years, sports materials and fitness equipments

Page 83: Budget Speech 17-18 - Eng. 14-3-2017

82 Budget 2017-18

will be provided to youth in all grama panchayaths at a

unit cost of Rs.1 lakh. In this regard, Rs.20 crore grant

will be provided in the current year. Rs.5 crore grant

will be provided to revolving fund to enable youth clubs

to take up economic activities.

278. Sports IT Cell will be established at a cost of

Rs.1 crore for complete digitization of sportspersons’

profiles. This will help in identifying sports talent at a

very young age, in providing required training facilities

and in bringing transparency in awarding cash prize,

incentives and in distribution of seats in professional

courses.

279. Monthly pension given to former state, national

and international wrestlers will be increased from

Rs.1500 to Rs.2500, from Rs.2000 to Rs.3000 and from

Rs.3000 to Rs.4000 respectively.

280. In 2017-18, an outlay of Rs.285 crore has been provided to Youth Empowerment and Sports

Department.

Food and Civil Supplies

281. Achievements in last 4 years

• The ambitious Annabhagya scheme of the State

Government to free the State from hunger has

been successfully implemented. 1.08 crore

families below poverty line have been benefitted

by this scheme.

• Distribution of 1 kg. of pulses per ration card for

the families below the poverty line has been

started from the current year as a part of the

Page 84: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 83

Annabhagya scheme to ensure availability of

proteins in this nutritious intake.

New schemes in 2017-18

282. On demand from people, food grains being

distributed under Annabhagya scheme will be increased

from 5 kg to 7 kg per person.

283. 20 lakh poor families have already been brought

under Annabhagya scheme through Public Distribution

System. By simplifying the eligibility criteria, new ration

cards will be delivered at the doorstep of applicants

within 15 days through speed post by bringing

distribution of ration cards under Sakala Scheme.

284. Free food grains will be distributed to welfare institutes like nariniketans, old age homes, schools for

blinds, hostels for poor students, Beggars Rehabilitation

Centres, etc. on Annabhagya model.

285. With a view to provide free gas connection to all

the LPG-less poor families in the State and to make our

State a PDS kerosene free State, “Anila Bhagya Scheme’’

will be implemented, with the incentive amount received

from the Central Government. Incentive of Rs.1,600 per

beneficiary will be given for free gas connection to about

5 lakh eligible poor families which have not qualified

under Central Ujjvala scheme. Option will be given to

ration card holders in rural areas with gas connection to

choose either kerosene or free re-chargeable LED sets.

286. Further, following reform measures will be

undertaken:

Page 85: Budget Speech 17-18 - Eng. 14-3-2017

84 Budget 2017-18

• Fair price shop level Awareness Committees will

be strengthened to get the social audit done

through them.

• All fair price shops will be converted into

“Sevasindhu” centers in collaboration with the

Department of e-Governance.

• Additional Consumer Dispute Benches will be

set up at the State and District levels to enable

the disposal of all the pending disputes within

the statutory period of 3 months.

287. During 2017-18, a total amount of Rs.3636

crore is provided to the Department of Food and Civil

Supplies.

Rural Development and Panchayath Raj

Villages are soul of India without the

progress of villages development of India

is only a dream

-Mahatma Gandhiji

288. Achievements in last 4 years

• The Department has received the Annual

National Award from the Central Government

for its achievements in matters pertaining to

decentralisation, sanitation, e-Governance and

transparency. Abdul Nazir Saab Rural

Development Institute has received appreciation

from the World Bank for its capacity building

programme.

Page 86: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 85

• The revolutionary “Grama Swaraj and

Karnataka Panchayath Raj Act, 2015” has been

implemented.

• Formation of 460 new Grama Panchayaths.

• 4,023 “Bapuji Seva Kendras” have been set up

in Grama Panchayath offices itself. 18.5 lakh

land records, 2.4 lakh Nada Kacheri

applications and 2,802 applications for services

of Department of Rural Development and

Panchayath Raj have been distributed through

Bapuji Seva Kendras.

• 9,300 pure drinking water units were installed:

pure drinking water has been supplied to 1.6

crore rural people.

• 190 Multi Village Water Supply Schemes have

been implemented with an expenditure of

Rs.1,554 crore. Water is being supplied to 40

lakh people which has provided permanent

drinking water to 2,539 villages.

• The number of rural families with toilet facility

has been increased from 35.41% to 70%. A

novel programme “Shouchalayakkagi Samara”

was launched for constructing 28 lakh personal

toilets out of the 55 lakh unconstructed toilets.

• Establishment of Rural Development and

Panchayath Raj University at Gadag to

strengthen the Panchayath Raj System at the

primary level, to improve rural development

programme, rural education, economic, health

and sanitation system, to support skill

Page 87: Budget Speech 17-18 - Eng. 14-3-2017

86 Budget 2017-18

development and for conducting higher study

and research.

• Under Namma Grama Namma Rasthe scheme,

approval has been given for roads of 9,583 km

Out of this 8,288 km roads have been completed

with an expenditure of Rs.4,167 crore.

• Rs.589 crore grant has been given to Task Force

Committee under the Chairmanship of Member

of Legislative Assembly for the maintenance of

roads.

• 1,300 villages remaining under Suvarna Grama

scheme have been developed at a cost of Rs.946

crore. Under Grama Vikasa scheme, 700

villages have been developed.

• Under Mahatma Gandhi NREGA Scheme, 52.7

lakh families have registered for employment

card; creation of 24.8 crore man days

employment with an expenditure of Rs.7,056

crore. Under Chief Minister 21 Point

Programme, creation of 11.89 lakh assets.

• Under Namma Hola Namma Daari Scheme, in

collaboration with farmers, 5,000 km of mud

road has been constructed under NREGA.

New schemes in 2017-18

289. Rs.20 crore will be provided for Namma Grama

Namma Yojane (GPDP). Taluk and District action plans

will be prepared by consolidating the plans prepared by

Grama Panchayaths. Out of 22.5 lakh activities

earmarked for the next 5 years, 3.9 lakh activities will be

taken up during the current year action plan.

Page 88: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 87

290. Rs.2,200 crore will be provided for Rural Water

Supply Scheme.

291. To eliminate the ill effects of chemical

contamination of water on the health of rural people and

to achieve sustainability in the supply of drinking water

by using surface water as source of drinking water,

priority will be given to Multi Village Drinking Water

scheme by our Government.

292. 2,500 pure drinking water units will be

established during the year.

293. For ensuring rural sanitation and with a view to

create open defecation-free State, Rs.1,585 crore will be

provided. Incentive will be given to all toiletless rural

families to build individual toilet and in cases of

non-availability of space, community toilet complexes

will be constructed. Treatment of solid and liquid waste

will be done to maintain village hygiene.

294. ‘Rural Road Maintenance Policy’ will be

implemented based on National Rural Development

Authority guidelines.

295. Under Namma Hola Namma Daari, 25 km of

long mud roads to reach the farms in each Legislative

Constituency will be constructed under NREGA in

collaboration with farmers. Rs.100 crore will be provided

for this purpose.

296. By aligning the grant of Rs.1 crore for each village under Chief Minister’s Grama Vikasa Scheme

with Chief Minister’s 21 point programmes, it is

proposed to comprehensively develop 1,000 villages in

2 years.

Page 89: Budget Speech 17-18 - Eng. 14-3-2017

88 Budget 2017-18

297. By commencing Namma Grama Namma Rasthe

Scheme Phase-IV during the year, 4,386 km roads will

be developed. Rs.1,765 crore will be provided for this

purpose.

298. It is proposed to provide Rs.5 crore to set up Bio Fuel Generation Unit with 1,000 ltr. per day capacity

and Central Bio Fuel Quality Test Laboratory.

299. Under Mahatma Gandhi NREGA scheme, in

2017-18:

• Target for creation of 12 crore man days.

• Women worksheds will be constructed in

collaboration with National Livelihood Scheme

to take up productivity or service activities

through women self help groups.

• Opportunity will be created for construction of

community cattle sheds to help cattle/ livestock

of families facing non availability of space.

• By integrating with the programmes of the

Horticulture Department, a minimum of 200

plantation area development works will be

undertaken.

300. District Panchayath Development grant will be

increased from Rs.2 crore to Rs.4 crore.

301. Honorarium amount to the elected members of

Zilla, Taluk and Grama Panchayath will be raised as

under.

• Zilla Panchayath member – from Rs.3,000 to

Rs.5,000

Page 90: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 89

• Taluk Panchayath President – from Rs.4,500 to

Rs.6,000

• Taluk Panchayath Vice President – from Rs.3,000

to Rs.4,000

• Taluk Panchayath Member – from Rs.1,500 to

Rs.3,000

• Gram Panchayath President – from Rs.1,000 to

Rs.3,000

• Gram Panchayath Vice President – from Rs.600 to

Rs.2,000

• Gram Panchayath member – from Rs.500 to

Rs.1,000

302. A model Heritage Village will be developed at

MGIRED premises at a cost of Rs.3 crore.

303. During 2017-18, a total amount of Rs.14061

crore is provided to the Department of Rural

Development and Panchayath Raj.

Planning and Area Development

304. Achievements for the last four years

• As announced during 2014-15 budget, online

registration system of births and deaths has

been implemented in rural areas throughout the

state.

• Special Development Programme in accordance

with Dr. D.M.Nanjundappa’s Committee

recommendation to reduce regional imbalances

has been extended for another 5 years from

2014-15.

Page 91: Budget Speech 17-18 - Eng. 14-3-2017

90 Budget 2017-18

• To prevent regional imbalance and for the

purpose of development of Hyderabad –

Karnataka region, Hyderabad – Karnataka

Regional Development Board was established

under the article 371-J of Constitution of India.

For this purpose Rs. 2503 crore have been

provided in last three years.

New schemes for the year 2017-18

305. During the year, programmes amounting to

Rs.1,500 crore will be implemented through the

Hyderabad – Karnataka Regional Development Board for

the development of basic infrastructure and to reduce

regional disparities.

306. Rs. 60 crore, Rs. 50 crore and Rs.20 crore will

be provided to Malanad Area Development Board,

Bayaluseeme Development Board and Karavali

Development Board respectively.

307. Rs. 600 crore will be provided under Karnataka

Legislative Area Development programme.

308. It is intended to continue the implementation of

Special Development programme in the State with a view

to reduce the regional imbalance. For this purpose

Rs. 3000 crore will be provided. This grant will be

utilized in all 114 backward talukas to improve the

Human Development Index in those talukas.

309. A special provision of Rs.2.25 crore will be provided to undertake development works in 9 Naxal

affected talukas.

Page 92: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 91

310. In 2017-18, a total outlay of Rs.1828 crore is provided to Planning and Area Development

Department.

Urban Development

Bruhath Bengaluru Mahanagara Palike

311. Approved and programmes under

implementation

• Bengaluru accounts for the lion’s share of

Karnataka’s commercial production. Keeping

the same in mind, several developmental

projects essential for Bengaluru will be takenup.

• During last year, Rs.7300 crore has been made

available for development of infrastructure of

Bengaluru city and welfare of Bengaluru’s

citizens. The said grant, being spread over

2016-17 and 2017-18, the action plan of the

works has been approved and these works are

at different stages of implementation. The entire

amount will be spent by March-2018.

312. In continuation of the systematic City Road

Upgradation Policy of our government in previous years,

preparatory work on the following action plans will be

taken up in 2017-18.

• Select 43 major roads of about 80 KM length

will be white topped and the pedestrian facilities

will be upgraded at a cost of Rs.690 crore.

• 25 interconnected roads of 25 KM length in

“Bengaluru’s Central Business District (CBD)”

will be comprehensively upgraded under

Page 93: Budget Speech 17-18 - Eng. 14-3-2017

92 Budget 2017-18

3rd stage of Tender Sure model at the cost of

Rs.250 crore.

• 12 high traffic density corridors have been

identified and Rs.150 crore will be earmarked

for the development and maintenance of these

corridors.

• Keeping in view the safety of pedestrians, Rs.

200 crore will be allocated for developing

footpaths along various roads of 200 K.M

length.

• To ensure seamless vehicular movement in the

city; grade separators will be constructed in 9

select busy junctions of Bengaluru City for

which Rs.421 crore will be provided. In addition,

Rs.150 crore will also be made available to

BBMP for Railway Over Bridge and

Railway under Bridge construction to enable

uninterrupted movement of vehicles.

• Grant of Rs. 300 crore will be provided for the

development of storm water drains within the

limits of BBMP.

• Grant of Rs. 200 crore will be provided for

Traffic Engineering Works, such as construction

of road humps, lane marking, signage, median,

junction improvement, etc.

• It is an essential to construct skywalks in

various location of city to make crossing of

roads by pedestrians safe. To make

construction of skywalk on PPP model

attractive, Rs.80 crore is being provided to

Page 94: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 93

BBMP for Viability Gap Funding in construction

of skywalks.

313. At the cost of Rs.50 crore, 1000 public toilets will be constructed.

314. “Namma Canteen”, a novel programme will be

started to supply breakfast, lunch and dinner to the

common man at affordable price. One canteen in each

of 198 wards of Bengaluru Mahanagara Palike will be

opened, wherein breakfast at Rs.5 and lunch & dinner at

Rs.10/- will be provided. For this purpose, Rs.100 crore

will be provided.

Bengaluru Metro Rail Corporation Limited

315. Phase-1: The entire track length of 42.3 km

length of first phase project will be completed by

April-2017.

316. Phase-2: Bengaluru Metro Rail Project Phase-2

has a total length 72.095 km and its estimated cost is

Rs. 26,405 crore of this, Reach-4 extension (from

Puttenahalli to Anjanapura) and Reach-2 extension

(from Mysore road to Kengeri) works are under progress.

317. Under Bengaluru Metro Rail Project Phase-2A,

work for an additional new line (17 kms length) from Silk

Board to K.R.Puram junction is being funded through

innovative financing and the project will be commenced

at a cost of Rs.4,200 crore.

318. Feasibility study for Namma Metro Phase-3 is

complete. Suitable alignment to connect Kempegowda

International Airport is under finalization.

Page 95: Budget Speech 17-18 - Eng. 14-3-2017

94 Budget 2017-18

Directorate of Urban Land Transport:

319. A Memorandum of Understanding has been

entered into with Ministry of Railways to undertake Sub

Urban railway projects to avoid traffic congestion in

Bengaluru city through Special Purpose Vehicle (SPV).

The phase-1 of this programme will be taken up at the

cost of Rs.345 crore.

320. The scheme of providing hired cycles has been

implemented successfully in Mysore to provide healthy,

non motorized, environmental friendly transport system

to the citizens. The said scheme will be taken up in

select clusters of Bengaluru city.

Directorate of Municipal Administration

321. Under Nagarothana (City Corporation) Phase-3

project, all 1565 approved works at a cost of Rs.1,000

crore will be completed during this year.

322. Under Chief Minister’s Small and Medium

Towns Development Scheme (CMSMTDP) Nagarothana

(Municipality/City Municipal Council) Phase-2, all

approved 2050 works at a cost of Rs.2,060 crore will be

completed during this year.

323. Under Nagarothana (Municipality/City

Municipal Council) Phase-3, drinking water supply

scheme for citizens for Small and Medium towns and

infrastructure works at a cost of Rs.2,886 crore will be

started on priority during this year.

324. Construction of 22133 houses (DUs) at a cost of

Rs.550 crore under Rajeev Awas Yojana will be

completed during this year.

Page 96: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 95

325. Under “Housing for All” abhiyana, construction

of 60,000 houses at a cost of Rs.2,612 crore will be

implemented through Urban Local Bodies and Rajeev

Gandhi Rural Housing Corporation.

326. Under Solid Waste Management Scheme, works

will be started in 134 urban local bodies in the year

2017-18. It is targeted to construct 3.29 lakh personal

toilets, 9104 capacity community toilets, 4522 capacity

public toilets.

327. Under “AMRUTH” abhiyana, an amount of

Rs.4,953 crore has been allocated from 2015-16 to

2019-20. Out of this, the State Government’s share is

Rs.1080 crore. Implementation of 36 schemes at a cost

of Rs.2,314 crore will be started.

328. Advanced ‘Web Application’ will be put in place

for online receipt of application, approval and delivery of

service relating to Jalanidhi (Water/Underground

drainage connection approval), Nirman (Building

construction approval), Vyapar (Trade License), e-Asthi

(Transfer of property ownership rights) and Janahitha

(Public Grievances Management). Mobile version of the

web application will also be developed.

329. Necessary amendments will be carried out to

Karnataka Municipal Act, 1964 and Karnataka City

Corporation Act, 1976 to bring all local bodies in the

State under one enactment.

330. Urban Development Department will undertake

computerization of all citizen services to achieve

transparency and delivery of layout approval and

building plan approval services by developing end to end

online system based on Auto DCR and also initiating

Page 97: Budget Speech 17-18 - Eng. 14-3-2017

96 Budget 2017-18

action for micro planning and introduction of

participatory town development in 10 towns. For this

Rs.20 crore will be provided.

331. Preparation of Master Plans of all 274 Urban

Local Bodies of the state will be taken up during this

year.

332. Steps will be taken to construct Ring Roads in all the District Headquarters as per Town Planning

Scheme through partnerships without any capital

investment. Rs.2 crore will be provided for the

preparatory work.

333. To mitigate drinking water scarcity in

Mangaluru, Desalination Plant will be established with

public-private-participation.

Karnataka Urban Water Supply and Drainage

Board

334. 6 Water Supply schemes at a cost of Rs.290

crore and 3 underground drainage schemes at a cost of

Rs.45 crore have been completed in 2016-17.

335. It is targeted to take up a total of 27 schemes at

a cost of Rs.865.41 crore (14 water supply and 13

drainage schemes) and complete the same during

2017-18.

Bangalore Development Authority:

336. In the year 2017-18, construction and allotment

of 3000 flats will be completed. 5,000 sites will be

distributed in Nada Prabu Kempegowda Layout which is

under implementation.

Page 98: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 97

337. Bangalore Development Authority has proposed

to develop Modern Model Township in an area of 166

acres in Konadasanapura village.

338. It is proposed to construct 10.7 km major

arterial road connecting Mysore road and Magadi road

through Kempegowda Layout at a cost of Rs.350 crore

and it is also proposed to develop Commercial Hubs in 5

places on the said road under public private

partnership.

339. Integrated development of 12 lakes has been

completed at a cost of Rs.75 crore. In the year 2017-18,

integrated development 10 lakes will be completed at

an estimated cost of Rs.42 crore. During 2017-18

Bellanduru and Varthuru tanks will be comprehensively

developed.

340. Construction of Under bridge and widening of

Over bridge at Hebbal junction of outer ring road will be

taken up at an estimated cost of Rs.88 crore.

341. Overbridge presently under construction at a

cost of Rs.44 crore, at Doddanekundi Junction of Outer

ring road will be made open to public by June 2017.

342. Silk board junction and K.R. Pura junctions, which are very important from traffic view point in

Bengaluru city, will be developed in collaboration with

BMRCL.

Bangalore Water Supply and Drainage Board

343. Unaccounted for water (UFW) which was at 49%

during 2012-13, has come down to 44% now. By end of

2017-18, this will be further reduced to 40%.

Page 99: Budget Speech 17-18 - Eng. 14-3-2017

98 Budget 2017-18

344. In the last 4 years 2.43 lakh new water

connections have been given. This is an increase of 35%

over connections provided previously.

345. Board has taken up construction of 12 sewage treatment plants of 340 million litre capacity at a cost of

Rs.845 crore. This work is nearing completion.

346. Water Supply Project for 110 villages of the city

has been proposed to be taken up at a cost of Rs.1886

crore. This work will be started in April 2017 and

completed within next 2 years.

347. The State Government has approved Cauvery

5th stage and underground drainage project for 110

villages at a cost of Rs.5,052 crore with assistance from

JICA (Japan International Cooperation Agency). This

project will be started in the current year. From this

project 775 million litre drinking water will be available

from Cauvery River.

348. Under the State Government Mega city project,

construction of 4 sewage treatment plants of 440 million

litre capacity, at a cost of Rs.1209 crore will be started

and under “AMRUT” scheme construction of 5 sewage

treatment plants of 75 million litre capacity will be

started at a cost of Rs.129 crore. This project will be

completed by 2020. With this, the sewage treatment

capacity will be 1576 million litre from the existing 721

million litre.

349. Government has decided to provide 10,000

litres of water every month, free of cost to the residents

of slums living in 30 x 20 sites and water charges for

these residents will be waived off.

Page 100: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 99

350. A project will be taken up by the Board for

rejuvenation of Thippagondanahalli reservoir.

Karnataka Urban Infrastructure Development and

Finance Corporation Limited:

351. Under Karnataka integrated urban water

management investment programme (KIUWMIP), water

supply and underground drainage development has

been taken up in 8 towns at a cost of Rs.2187.72 crore.

Underground drainage projects in 4 towns and will be

completed in this year.

352. Under North Karnataka Urban Investment Plan

(NKUSIP), works for 24 x 7 water supply in 12 towns and

underground drainage works in 7 towns will be

completed in 2017-18.

353. Under Karnataka urban water supply

modernization programme (KUWSMP) operator contract

for 12 years has been given for supply of water to

Hubli-Dharwad at a cost of Rs.252 crore. Contracts in

Belagavi and Kalaburgi will be finalized in 2017-18.

354. Rs.800 crore will be provided to 6 cities of

Belagavi, Davanagere, Hubballi-Dharwada, Shivamogga,

Mangaluru and Tumkuru selected under Smart City

Abhiyana. Works will be started in the current year.

355. In 2017-18, a total amount of Rs.18127 Crore is

provided to Urban Development Department.

Revenue

356. Achievement during the last 4 years

• Sections 94C and 94CC have been inserted to

the Karnataka Land Revenue Act, 1964 to

regularise the unauthorizedly constructed

Page 101: Budget Speech 17-18 - Eng. 14-3-2017

100 Budget 2017-18

residential houses on the Government lands in

rural areas, towns and cities.

• For one time regularization of Government

gomala lands under Section 94A and 94B of the

Karnataka Land Revenue Act, rule 97 of the

Karnataka Land Revenue Rules, 1966 has been

amended.

• To prevent organized attempts to encroach

Government land and lands of Government

owned agencies, the Karnataka Prohibition of

Land Encroachment Act, 2011 has been

enacted and a special court has been set up to

prosecute the offences committed under the Act.

• Encroachments in 2.02 lakh acres of

government land have been evicted in the State.

Encroachments in 5,325 acres of government

land valued at Rs. 1 lakh crore have been

evicted in Bengaluru Urban district alone.

• A Special Cell has been created in the revenue

department to convert many residential areas

without documents of title into revenue villages

where people of backward classes like Lambani

(Banjara), Golla, Bhovi, Nayaka, Soliga, Kadu

Kuruba etc., are residing. As of now, preliminary

notification has been issued in 339 cases.

• Transfer of input subsidy and payment of other

compensation amounts directly to the account

of farmers through a new software ‘Parihara’ is

being done.

• ‘Phody Muktha Abhiyana’ has been started from

2015. As of now 6.28 lakh single owner pahanis

Page 102: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 101

have been created by completing survey work of

totally 8.36 lakh blocks of 3782 villages.

• A scheme for providing pension of Rs.2,000 has

been implemented to widow of the farmers who

have committed suicide. Order has been issued

to reimburse the hostel fee, tuition fee and

residential expenses to the dependent children

to continue the education up to graduation,

alongwith the pension.

• Government has taken up various development

works of 17 temples at a cost of Rs.201 crore

under ‘Bruhat Devalayagala Poornabhivruddhi

Scheme’ to develop large temples coming under

the department of endowments.

• The time limit for sanction of pension has been

reduced from 70 to 45 days from this year.

New schemes for the year 2017-18

357. ‘Less Paper Office’ scheme has already been

implemented in 15 Deputy Commissioner offices, 15

Assistant Commissioner offices and 15 taluk offices.

This scheme will be extended to all the offices of revenue

department in the next 2 years. For this purpose, Rs.10

crore will be provided.

358. Under the Digital Land Records Management

Project (DLRMP), the following programmes will be

undertaken with the assistance of Government of India:-

• Old revenue record rooms in all taluk offices will

be modernized.

Page 103: Budget Speech 17-18 - Eng. 14-3-2017

102 Budget 2017-18

• Parcel Maps of all taluks of the State will be

digitized using ‘Bhoo Nakshe or Colab Land’

software developed by NIC.

• ‘Aakaarbundh’, an important document, will be

digitized. A special software will be developed for

this purpose. This programme will be completed

during 2017-18.

359. A grant of Rs.5 crore each will be provided to Banavasi Development Authority and Sarvajna

Development Authority to take up various developmental

programmes.

360. A branch office will be opened to give assistance

in providing medical facilities, help line and rescue for

more than 50 lakh pilgrims of Karnataka visiting

Shabarimalai.

361. A grant of Rs.175 crore will be provided for the grand celebration of Bhagawan Babhubali Maha

Masthakabhishekha celebrated once in 12 years in

Shravanabelagola.

362. Sri Mylara Lingeshwara and Sri Devaragudda

Development Authority will be formed in Mylara with a

grant of Rs.5 crore.

363. Action will be taken to survey all the lakes of the State by forming district level task force headed by

Deputy Commissioner at a cost of Rs.10 crore.

364. Considering the Geographical and

Administrative necessities, 49 new taluks will be created

as specified in Annexure-A during the year to fulfil the

long pending demands for creation of new taluks.

Page 104: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 103

365. By the end of March 2018, around 1100

residential areas, having no document of titles will be

converted into revenue villages.

366. Old Age Pension being given to the persons with

age between 60 and 64 years will be enhanced from

Rs.200 to Rs.500.

367. During 2017-18, a total grant of Rs.5900 crore

is provided for Revenue Department.

Energy

368. Achievements during the last 4 years

• Total of 5,848 M.W. capacity has been added

from all sources to supply adequate electricity to

attain self-reliance in energy sector in the State.

• To attain self-reliance in power sector,

government is giving more thrust to renewable

energy sources and solar energy production.

Solar Policy 2014-21 has been launched.

Accordingly, ‘Solar Energy Park’ of 2000 M.W. is

being constructed in Pavagada, which is the

biggest in the World.

• To strengthen the transmission network, 107

new electricity sub stations have been

established and 2485 circuit k.m. transmission

lines have been incorporated to the electricity

network.

• 58,145 bore wells have been provided with

electricity connection under Ganga Kalyana

Scheme.

Page 105: Budget Speech 17-18 - Eng. 14-3-2017

104 Budget 2017-18

• 37,251 drinking water plants have been

provided with electricity connection.

• Infrastructure has been provided for 1.55 lakh

regularised pumpsets.

• The State’s transmission and distribution loss of

electricity network has been reduced from

3.81% to 3.22% and 16.10% to 14.09%

respectively in the last 4 years.

• 3-phase electricity for 7 hours in batches is

being provided to the irrigation pumpsets of

farmers of the State.

New Schemes for the year 2017-18

369. It is proposed to add 3975 MW capacity during

the year 2017-18 including 1600 MW from Yaramaras

project, 1000 MW from Solar Energy Park of Pavagada

and 1375 MW from renewable energy sources.

370. The electricity arrear bills of Gram Panchayats

pending for long time have created much financial crises

for ESCOMs and Karnataka Power Corporation. We

have decided to pay arrears of Rs. 3,766 crore pending

as on 31-3-2015. This will provide financial leverage to

these companies to invest in infrastructure facilities and

upgradation.

371. Under Bhagya Jyothi Scheme, the electricity

supply being given free of cost will be increased from 18

to 40 units.

372. 5 villages in each MLA constituency will be

converted into Model Electricity Villages by taking steps

for the efficient usage of electricity.

Page 106: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 105

373. 40 new sub stations will be established to

strengthen the transmission network.

374. During 2017-18, a total grant of Rs.14094 crore

is provided for Energy Department.

Public Works, Ports and Inland Water Transport

375. Achievements during the last 4 years

• Under various schemes, 9,644 k.m. State

Highway Development works have been

completed at a cost of Rs.9,616 crore through

Public Works Department, State Highway

Development Project, KSHIP and KRDCL.

• State Highway of 1,854 k.m. has been declared

as National Highway and Central Government

has approved, in-principle, to upgrade 6,262

k.m. of State Highway into National Highway.

• Development works of 20,733 k.m. District Main

Roads have been completed at a cost of Rs.

8,190 crores.

• 136 bridges on District Main Roads and 163

bridges on State Highways have been

constructed/re-constructed at a cost of Rs.372

crores.

• Under Scheduled Caste Sub Plan and Tribal

Sub Plan, concrete roads of 2,663 k.m. and

1,190 k.m. have been constructed in Scheduled

Caste and Schedule Tribe colonies, respectively

at a cost of Rs.2,900 crores.

• Under NABARD aided RIDF scheme,

development of 2,420 k.m. rural roads and

Page 107: Budget Speech 17-18 - Eng. 14-3-2017

106 Budget 2017-18

construction of 307 bridges have been

completed at a cost of Rs.1,210 crores.

• During 2016-17, approval has been given for

construction of 195 bridges through KRDCL at a

cost of Rs. 1,396 crores.

• Coastal Protection Scheme is being implemented

with the assistance of ADB at a cost of Rs.911

crore.

• Under PPP model, 49 k.m. Devanahalli-

Vijayapura-Kolar road is being developed

through KRDCL at a cost of Rs.148 crore.

New Schemes for the year 2017-18

376. Under KSHIP-III (ADB 2nd loan) following 418.5

k.m. roads will be taken up at a cost of Rs.5,310 crore to

develop core road network of the State:-

• Kollegal-Hanur road – 23.8 k.m.

• Chintamani-Andhra Pradesh border road – 39.8

k.m.

• Bengaluru-Magadi-N.H.-75 (Nelamangala

Mangalore) – 50.7 k.m.

• Magadi-Somwarpet road via Huliyurudurga-

Nagamangala-K.R. Pet – 166 k.m.

• Gadag-Honnali road – 138.2 k.m.

377. In order to ease the traffic congestion in

Bengaluru, it is proposed to develop the following 150

k.m. roads in and around Bengaluru through KRDCL at

an estimated cost of Rs.1,455 crore:-

Page 108: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 107

• Hoskote – Budigere – Mylenahalli - Devanahalli

International Airport road

• Nelamangala – Madhure - Byatha Road

• Anekal – Attibele – Sarjapura – Varthur –

Whitefield - Hoskote road

• Harohalli – Uruganadoddi - KIADB Industrial

area – Jigani - Anekal road

378. It is proposed to develop 22 k.m. road around

Mysore city at an estimated cost of Rs.117 crores.

379. 2.5 k.m. road on Mangalore-Athradi State

Highway-67 connecting Mangalore International Airport

will be developed at an estimated cost of Rs.50 crores.

380. In order to promote Import/Export activities in

Karwar Port, a Detailed Project Report will be prepared

to construct an additional dock measuring 1508 meter

for stationing 5 ships of 14 metres depth.

381. Rs.50 crore special package will be given for the development of roads in Kodagu district.

382. During 2017-18, a total grant of Rs.8559 crore

is provided for Public Works, Ports and Inland Transport

Department.

Infrastructure Development

383. Achievements in last 4 years

• Rs.1,637 crore grant has been released for Rail

Over/Under Bridge works under progress from

2013-14 to 2016-17.

• Construction of Railway Wagon Factory in

Yadagiri is in final stage and it will be

commissioned by April, 2017. Rs.15 crore has

Page 109: Budget Speech 17-18 - Eng. 14-3-2017

108 Budget 2017-18

been released by the Government for the

acquisition of land.

• Construction of Hasana-Bengaluru railway line

is already completed; Bidar-Kalaburgi and

Ramanagar-Mysuru double line works will be

completed by April, 2017.

• 27 k.m. Munirabad-Mehaboob Nagar railway

line from Ginigera to Chikkabenakal will be

opened during the year.

• On Kudachi-Bagalakote new railway line, 30

k.m. railway line from Bagalakote to Khajjidoni

will be opened during the year.

• Necessary land acquisition process for 156 k.m.

long Gadaga-Vadi new railway line is in

progress. For this project, the Government will

give free land and 50% of total project cost of

Rs.1,922 crore will be borne by the Government.

• The State Government has provided 588 acres of

land for upgradation works of Hubballi Airport

and 370 acres of land for Belagavi Airport.

• City Gas Distribution Project is in the final stage

in Bengaluru. Industries, city transport and

domestic consumers will get the benefit of the

distribution of gas through pipes.

New schemes in 2017-18

384. Kempegowda International Airport has become

the third largest Airport in the country in terms of

passenger traffic. The development of second runway is

in progress to reduce the traffic congestion.

Construction of Terminal-2 will be taken up.

Page 110: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 109

385. Development of air strip at Karawar, Madikeri

and Chikkamagaluru will be taken up.

386. For the expansion of Mangaluru International

Airport, proposal for land acquisition of 286 acres has

been submitted to Airport Authority of India. Necessary

support to this expansion project will be provided by the

Government.

387. Tadadi seaport project will be taken up under

Public-Private Partnership.

388. During 2017-18, a total amount of Rs.790 crore

is provided to the Department of Infrastructure

Development.

Commerce and Industry

389. Achievements in last 4 years

• New Industrial Policy 2014-19 has been

announced in the State to achieve growth rate of

12% per annum by attracting investment of

Rs.5 lakh crore and generate employment for 15

lakh persons during the Policy period.

• 124 projects approved by the State High Level

Clearance Committee/ State Level and District

Level Single Window Clearance Committee, with

an investment of Rs.17,293 crore, creating

employment for 1.6 lakh persons, were

implemented and 1,492 projects with an

investment of Rs.2.8 lakh crore are under

implementation.

• “Invest Karnataka-2016”, the global investors

meet was successfully conducted in February,

2016. During this, MoUs have been signed for

Page 111: Budget Speech 17-18 - Eng. 14-3-2017

110 Budget 2017-18

112 projects with investment of Rs.1.27 lakh

crore. Out of these, 4 projects with an

investment of Rs.164 crore have already been

implemented and 41 projects with an

investment of Rs.32,480 crore have been

approved.

• As per the Department of Industrial Policy and

Promotion, Government of India, Karnataka

stands first in the country as an investment

destination by attracting investment of

Rs.1,54,173 crore during January to December

of 2016.

• Pravasi Bharatiya Divas-2017 has been

organised successfully to motivate investors to

invest in Karnataka in which 7,200 delegates

including 2,000 from overseas, participated.

• “Make in India” conference was successfully

organised in February, 2017.

• From 2013-14 onwards, 1.16 lakh small and

very small industrial units have been registered

with investment of Rs.22,175 crore and

employment was created for 10.3 lakh persons.

• In last 4 years, 2,807 living-cum-worksheds

have been constructed under Scheduled Caste

Sub Plan and Tribal Sub Plan. Initial capital

investment to 230 entrepreneurs and 60%

investment subsidy to 627 very small industrial

units were given. Skill development training has

been provided to 15,350 youth under different

schemes.

Page 112: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 111

• Under New Textiles Policy 2013-18, Rs.1,918

crore has been invested creating employment

opportunity for 96,568 persons.

• To approve mining lease in a transparent and

judicious manner, e-tender system has been

adopted. Through tendering, 7 iron ore blocks

have been cleared.

• To protect the ecosystem along the river bed, the

State Government is encouraging M-sand

production. M-sand production, which was at

1.5 million tons in 2013-14, has increased to 20

million ton in 2016-17. At present, 164 M-sand

units are functioning.

• Under Karnataka Minor Mineral Concession

(Amendment-2016) Rules-1994, reservation is

provided for allotment of contract works to

Schedule Caste, Schedule Tribe/Economically

Backward/ Differently Abled people who are

depending solely on quarrying for livelihood.

• Plots/sheds are being allotted/distributed to the

Schedule Caste and Schedule Tribe

communities by KIADB/KSSIDC at 50%

discount rate.

New schemes in 2017-18

390. Under Chennai-Bengaluru-Chitradurga

Industrial Corridor Project, one-time grant of Rs.400

crore will be provided for Tumakuru Industrial Node for

land acquisition by the KIADB.

391. In consultation with Indian Machine Tool

Manufacturer Association and with the assistance of

Page 113: Budget Speech 17-18 - Eng. 14-3-2017

112 Budget 2017-18

Ministry of Heavy Industry, Government of India, it is

proposed to develop “Machine Tool Industry Park” in 542

acres of land at Vasanthanarasapura in Tumakuru

district.

392. It is proposed to set up a Precision Metrology

Lab in association with Central Machine Tool Industry in

their premises, on 50% cost sharing basis with

Government of India, to give fillip to the engineering

manufacturing industries in the State.

393. It is proposed to form a ‘Vision Group’ headed

by sectoral experts for Pharma and Medical equipments

to formulate the necessary programmes to encourage

Pharma and Medical Devices Units in the State.

394. An Award will be instituted to encourage the

best performing manufacturing unit in Karnataka.

395. It is proposed to conduct Vendor Development

Event at a national level to bring together MSMEs and

Large Manufacturers/Public Sector Undertakings for

giving marketing support to MSMEs.

396. Karnataka intends to formulate a policy for

hi-tech and frontier industries like 3D printing,

Robotics, Nano Technology, IOT, Big Data Analytics,

Artificial Intelligence and Machine Learning, Stem Cell

Research, Bespoke DNA Medicine and other areas which

will define the next 20 years.

397. Our Government wishes to make Bengaluru the

Electric Vehicle Capital of India.

398. Employment creation is the focus of our

industrial policy. This year we intend to focus on

employment intensive sectors like toy manufacturing for

Page 114: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 113

exports, manufacturing of mobile phones, tablets,

electronic components and assemblies, etc.

399. It is proposed to pay the matching wage

incentives to coir artisans working in Coir Development

Corporation.

400. Rs.25 crore will be provided for development of

roads within the limits of sugar factories in 2017-18.

401. Rs.4 crore will be provided to set up Citizen Service Centres with a view to encourage Khadi and

Gramodyoga Industries.

402. It is proposed to establish Khadi Plaza in

Bengaluru and Belagavi at an estimated cost of Rs.10

crore each, with the assistance of Government of India.

403. To encourage entrepreneurs from Schedule

Caste and Schedule Tribe, the following schemes will be

taken up:

• For the new MSMEs to be established by the

Schedule Caste and Schedule Tribe

entrepreneurs, power subsidy of Rs.2 per unit

will be given in first 5 years.

• For the first time, processing fee, legal fee, one

time loan disbursement fee and other fee levied

by financial institutions will be borne by

Government for MSMEs established by Schedule

Caste and Schedule Tribe entrepreneurs.

• For Schedule Caste and Schedule Tribe

entrepreneurs, 100 C-type and 100 D-type

sheds will be constructed at subsidized cost by

KSSIDC.

Page 115: Budget Speech 17-18 - Eng. 14-3-2017

114 Budget 2017-18

• Loan amount of Rs.46 crore availed under seed

capital investment plan by the Schedule Caste

and Schedule Tribe entrepreneurs from 2010-11

to 31-03-2017 will be waived.

404. Instead of the existing 99 year lease basis, industrial land/site will be distributed upto 2 acres to

small and very small entrepreneurs by the Karnataka

Industrial Area Development Board and Karnataka State

Small Industries Development Corporation on 10 year

lease/sale basis.

405. A special grant of Rs.5 crore will be given to

KASSIA to establish Centre of Excellence at Dabaspet.

406. Plots/sheds to be allotted/distributed to the persons belonging to Backward Class Category-1,

Category-2A and Category-2B by KIADB/KSSIDC will be

given at 25% discount. Discount will be limited to 1 acre

in Bengaluru Urban and Rural Districts and to 2 acres

in other districts.

407. To encourage women entrepreneurs, the limit of

loan being disbursed by Karnataka State Finance

Corporation at 4% interest will be enhanced from

existing Rs.50 lakh to Rs.2 crore.

408. A Business Incubator will be established

exclusively for women entrepreneurs.

409. Rs.150 crore will be provided to weavers’

package. In addition to the ongoing projects, the

following new projects will be implemented:

• Electronic Jacard and pneumatic facility for

handlooms.

• Revival and capacity building of wool sector.

Page 116: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 115

• Recurring funds for Handloom Weavers

Co-operative Societies.

• 50% power subsidy for rapier looms connected

to low tension power supply.

• Establishment of Silk Mega Cluster in Mysuru

in collaboration with Government of India.

• Establishment of power loom complex in Haveri,

Hosadurga, Banahatti and Gowribidanur

through KSTDC and godown and Citizen Service

Centre in Panthabalekundri, Belagavi District.

• Power subsidy of Rs.2 per unit to encourage co-

operative yarn mills.

• 5% subsidy to co-operative yarn mills on cotton

purchased from Cotton Corporation of India.

410. A new Directorate will be established to support

medium, small and micro enterprises.

411. During 2017-18, a total amount of Rs.2250

crore is provided to the Department of Commerce and

Industry.

Information Technology, Bio Technology and

Science & Technology ( IT, BT and S&T)

412. Achievements during the last 4 years

• During the year 2016-17, the premier IT and

Electronics event of the State, Bengaluru

ITE.biz was conducted with the theme ‘Define

the Next’.

Page 117: Budget Speech 17-18 - Eng. 14-3-2017

116 Budget 2017-18

• A Centre of Excellence in Internet of Things (IoT)

has been set up in collaboration with

Government of India and NASSCOM,.

• An AVGC Venture Fund of Rs.20 crore is being

set up to provide Venture Capital to companies

in AVGC (Animation, Visual Effects, Gaming and

Comics) sector.

• K-GIS Portal Version-I was launched which will

enable for geo tagging, mapping of assets,

beneficiary tracking, collection of soil samples

etc.

• Jawaharlal Nehru Planetarium has been

upgraded with a modern opto-mechanic and

digital projection at a cost of Rs.12 crore.

• Approval has been given to establish a modern

3-D digital planetarium in Dharwad Regional

Science Centre located in the premises of

Karnataka University, Dharwad at an estimated

cost of Rs.22 crore.

New Schemes for the year 2017-18

413. It is proposed to set up ‘Centre of Excellence in Data Sciences and Artificial Intelligence’ and ‘Cyber

Security’ Centre keeping in mind the emerging

technologies and to create necessary technical

resources, skill development, in collaboration with

entrepreneurs to give thrust to capacity building.

414. A new programme ‘Yuva Yuga’ will be

implemented to train 1,10,000 persons in IT,

Electronics, Animation and other sectors by pooling

Page 118: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 117

funds from grants of Government of India, SCP/TSP and

Entrepreneurs to give thrust to skill development.

415. It is proposed to establish VLSI Incubator and Brown Field ESDM Cluster in Hubballi in collaboration

with Entrepreneurs to create new conceptual innovative

environment system and vibrant technology in

2/3rd phase cities.

416. It is proposed to provide free Wi-Fi facility in all

Gram Panchayats. This programme will be implemented

under PPP lead by KEONICS providing Viability Gap

Funding in 2500 Gram Panchayats in first phase at a

cost of Rs.50 crore.

417. A state-of-the-art planetarium located at

Pilikula Regional Science Centre in Mangalore will be

operationalized before December 2017 at an estimated

cost of Rs.35.69 crore.

418. With a dome size of 10 m, a 3-D mini

planetarium will be established in Madikeri and Gadag

at an estimated cost of Rs.5.75 crore each.

419. During the year, construction work of

International Level Science Gallery in Bengaluru will be

commenced at an estimated cost of Rs.30 crore.

420. During the financial year, mobile planetarium

programme will be implemented in all the districts of the

State by deploying one mobile planetarium van for every

five districts.

421. Karnataka Knowledge Commission has

identified artificial intelligence and robotic development

as technology of the future and for adoption of data

analytics in decision making. Accordingly, it is proposed

to establish artificial intelligence and robotics centre at

Page 119: Budget Speech 17-18 - Eng. 14-3-2017

118 Budget 2017-18

IIIT, Bengaluru. An expenditure of Rs.5 crore will be

incurred for this.

422. In order to explore the potential of Unmanned

Aerial System (UAS) through a coordinated pilot in

agriculture, urban Development and heritage

destinations, an amount of Rs.2 crore will be provided.

423. During 2017-18, a total grant of Rs. 299 crore

is provided to IT, BT and Science & Technology

Department.

e-Governance

424. Achievements during the last 4 years

• ‘Mobile one Project’ is the nation’s first and

one of the largest integrated mobile governance

platform in the world for multi-purpose citizen

services of Government and private sector.

• 39 Karnataka-One Centres have been

established in line with Bengaluru-One project

in 09 major cities of the State viz., Hubblli-

Dharwad, Mangaluru, Shivamogga, Belagavi,

Ballari, Mysuru, Davanagere, Kalaburagi and

Tumkuru.

• World Bank assisted Human Resource

Maintenance System (HRMS) has achieved more

progress. HRMS-2.0 is in progress. In this,

salaries of 5.5 lakh government employees

(State, AIS, AICTE, UGC, FNJPC) and of 100%

aided educational institutions are being

maintained.

Page 120: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 119

New Schemes for the year 2017-18

425. During the financial year 2017-18, every

district will be brought under the scope of service

process by establishing ‘Karnataka One’ Centres in more

than 18 district centres.

426. KSWAN-2 will be implemented in the next 5

years at a cost of Rs.800 crore. The number of offices

being included in this network will be increased to

10,000. All the government offices and their

functionaries will get fast and reliable connectivity from

this project.

427. During 2017-18, a total grant of Rs.189 crore

is provided to e-Governance Department.

Tourism

428. Achievements during the last 4 years

• New Tourism Policy-2015 has been launched.

In the said policy, 20 tourism destinations have

been identified to encourage private investment.

• During 2015-16, 472 home guards including 92

women were trained and deputed to important

tourism destinations of the State to ensure the

security of domestic and foreign tourists.

• 111 tourist guides including 9 women have been

trained through Universities and guide licenses

have been issued.

• In the past 3 years, 3804 tourist taxies have

been distributed with a subsidy of Rs.2 lakh

each to the unemployed candidates belonging to

SC/ST, Backward class and Minorities to get

self-employed.

Page 121: Budget Speech 17-18 - Eng. 14-3-2017

120 Budget 2017-18

• 38th PATA International event was held during

2015 for the first time in Bengaluru. 57

Countries and 19 States have participated in

this event.

• Jungle Lodges and Resorts Limited has

developed Jungle Camps for middle income

tourists at an affordable cost in Bhagavathi of

Chickmagaluru district, Sakrebailu of

Shivamogga district, Anejari and Seetha Nadi of

Udupi district.

New Schemes for the year 2017-18

429. To popularize wilde life tourism and eco-trails

across the State, 2017 has been declared as the ‘Year of

the Wild’ for the tourists to explore the forests and

wildlife in Karnataka.

430. A programme will be launched in association

with hospitality industry to increase skilled man power

in the sector at a cost of Rs.5 crore.

431. As a part of the plan to promote Karnataka

coastline as an international surfing destination, a

‘National Annual Surfing Festival’ will be organized at

Sasihitlu beach, Mangaluru, from this year.

432. Rs.385 crore will be provided for the

development of tourism infrastructure and the following

projects will be taken up: -

• Integrated development of Heritage Tourism

infrastructure including conservation,

preservation of monuments in collaboration with

ASI and the Department of Archaeology,

Museums and Heritage.

Page 122: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 121

• Construction of hygienic toilet facilities at

important tourist destinations.

• Earmarking a certain portion of this amount as

Maintenance Fund for proper upkeep of tourist

destinations.

• Development of roads connecting to World

Heritage sites and other most important

destinations.

433. 16 tourist centres will be developed into World

Class Tourist Destinations.

434. Historical places of Lakkundi, Hampi, Badami,

Pattadakallu, Aihole, Banavasi etc. of North Karnataka

will be revived and made attractive by establishing ‘Belli

Shrunga’ from Karwar to Vijayapur, from Belagavi to

Ballari and from Bidar to Koppal.

435. It is proposed to construct an Aero Sports Hub

in Mysuru.

436. During the year, a total grant of Rs.572 crore is

provided for Tourism Department.

General Administration

437. Government employees play an important role

in development of the State. As per the Pay Committee’s

recommendations, benefit of previous pay revisions was

extended to Government employees from 01.04.2012.

There is a demand by the Government employees for pay

revision. In the meanwhile, Central Government has

also revised pay for their employees. In this background,

pay commission will be formed to examine the request of

the Government employees.

Page 123: Budget Speech 17-18 - Eng. 14-3-2017

122 Budget 2017-18

438. Monthly pension for freedom fighters will be

increased from Rs.8,000 to Rs.10,000 and monthly

pension for Goa liberation fighters from Rs.3,000 to

Rs.4,000.

Information and Public Relations

439. Achievements during last four years

• “Jana-Mana” programme has been organized in

all the districts for direct interaction of the

beneficiaries of the State Government

programmes with the Ministers.

• Photography exhibition was organized to

celebrate 125th birth anniversary of Jawaharalal

Nehru and birth anniversary of Devaraj Urs and

statewide “Bharatha Bhagyavidhatha” sound-

light show has been organized on account of

125th birth anniversary of Dr. B.R.Ambedkar.

• Subsidy given to Kannada and regional feature

films has been enhanced from 75 to 125 feature

films.

• Film city is being constructed at Himmavu

village of Mysore for the development of

Kannada Film Industry.

• Dr. Rajkumar memorial has been set up and is

dedicated to the public. Dr. Vishnuvardhan

memorial is under construction in Mysore.

• Bangalore International Film Festival hitherto

being organized in Bengaluru has also been

extended to Mysore city since last two years.

Page 124: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 123

New Schemes for 2017-18

440. Three day “Zilla Mahithi Utsava” programme

will be organized in all districts to provide information

about various schemes implemented by various

departments. For this purpose, grant of Rs.16 crore has

been earmarked.

441. Digital display boards will be installed in KSRTC

bus stations and other public places of all taluks. Rs.17

crore has been earmarked for this purpose.

442. 150th birth anniversary of Mahatma Gandhiji

will commence from 2nd October 2018. Prior to this,

statewide “Mahatma Gandhiji” sound and light show

will be organized. For this purpose, Rs.5 crore has been

earmarked.

443. Rs.2 crore has been earmarked for the

development of Kasturba Ashram at Arasikere where

ashes of Mahatma Gandhiji are kept.

444. Free bus pass will be distributed to journalists

in district headquarters for travel in respective city

transport buses within the district.

445. Monthly pension given to former journalists in

distress will be enhanced from Rs.8000 to Rs.10,000.

446. Amount given to charitable fund established for

medical benefits to workers, technicians and artists of

film industry will be enhanced from Rs.1 crore to Rs.10

crore.

447. Exhibiting Kannada and Regional language

films in one screen of multiplex cinemas of the state in

prime time between 1.30 pm to 7.30 pm will be made

compulsory.

Page 125: Budget Speech 17-18 - Eng. 14-3-2017

124 Budget 2017-18

448. It is proposed to implement uniform admission

fee policy in all cinema theatres including multiplexes in

the State, by prescribing Rs.200 as maximum admission

fee.

449. In 2017-18, an outlay of Rs.283 crore has been provided to Information and Public Relations

Department.

Home

450. Achievements during the last four years

• 12,000 officials of the Police Department have

been promoted that will enhance their morale.

• 20,487 P.S.I. and P.C. posts have been filled.

3,274 posts will be filled in coming one month.

• Out of 11,000 quarters required to be built

under ‘Police Gruha-2020’ scheme, 4,016

quarters have been built and construction of

4,198 quarters in the second stage has

commenced.

• Annual medical checkup at Rs.1000 for each

police official has been commenced.

• Allowances for posts of police constable to police

sub inspectors have been enhanced by Rs.2,000

per month.

• 2 new woman police companies have been

established keeping in view the safety of women.

• 27 new fire stations, 40 new fire station

buildings have been established and 308 fire

engines have been procured from 2013 till date.

Page 126: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 125

• State Disaster Management Force has been

established in 2013.

• Under Prisons Modernization Programme,

CCTVs, solar lights, mobile jammers, prisoner

information kiosks, prison call system and video

conferencing facility for under-trials has been

provided.

• In Karnataka, Home Guards strength has been

increased from 25,000 to 30,000 and daily

allowance given by the state to Home Guards

has been increased from Rs.300/- to Rs.400/-

in Bengaluru city and Rs.250/- to Rs.325/-

outside Bengaluru.

New schemes for 2017-18

451. To strengthen and increase basic infrastructure for women in Police Training Schools, Rs.10 crore will be

earmarked.

452. Separate toilet facility will be provided for lady

staff in all the police stations of the State.

453. Technology based police accessories including downloadable Apps will be installed to enable early

response of police, especially where offences against

women and children are involved.

454. “Dial 100” system will be further strengthened

and will be extended to districts.

455. TRAC programme presently existing in 5 cities

for traffic management will be further strengthened and

this programme will be extended to Bengaluru and

Mysore railway stations and to cities including

Kalaburagi and Tumkur.

Page 127: Budget Speech 17-18 - Eng. 14-3-2017

126 Budget 2017-18

456. Police Commissionerate will be established in

Kalaburagi.

457. The Forensic laboratories will be modernized by

upgrading basic infrastructure in order to bring

improvement in crime detection and crime conviction

rate. For this purpose Forensic Sciences & Technology

Centre will be established in Bengaluru at a cost of

Rs. 20 crore.

458. To provide housing facility to the Police

personnel deputed during legislative sessions,

construction of multipurpose building along with

barracks will be taken up in Belagavi at a cost of Rs.3

crore.

459. FG-1 security pole will be procured for 8 central

prisons and hand metal detector, door frame detector

and basic medical checkup equipments will be provided

to all central and district prisons.

460. For ease of administration and safety in

prisons, video conference facility will be strengthened.

461. Construction of new prisons will be taken up at

Karwar, Tiptur, Virajpet, Gangavati, Bidar and Tarikere.

462. 3rd stage works of women and convicted

prisoner’s prison of Bengaluru Central Prison will be

taken up.

463. In 2017-18, an outlay of Rs.4938 crore has

been provided to Home Department.

Page 128: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 127

Transport

464. Achievement in the last 4 years.

• Under Computerization and Smart Card

Scheme, 226 lakh Smart Cards, Driving

Licenses and Registration Certificates have been

issued in all Regional Transport Offices.

• 4 Transport Corporations of the State have

operated 23,746 buses covering 67 lakh kms

and carrying 112 lakh passengers per day.

During the last 4 years a total of 6,957 buses

have been added.

• 21 new Depots and 21 new bus stations have

been established. 1793 city bus services were

inducted in all the district centers and

important cities of the State.

• Karnataka State Road Transport Corporation is

the only State Road Transport Corporation in

the country which has earned 164 national and

international awards for the unique initiatives

and good practices.

• BMTC has earned 100 national and

international awards so far. North West

Karnataka Road Transport Corporation

(NWKRTC) has won National Level Urban

Mobility Award 2016 for its efficient city

operations and North East Karnataka Road

Transport Corporation (NEKRTC) has won India

Bus Award for innovative city transport.

• To maintain the social obligation, the Road

Transport Corporations have issued

Page 129: Budget Speech 17-18 - Eng. 14-3-2017

128 Budget 2017-18

concessional and free bus passes to the different

categories and citizens and issued concessional

passes to 17.79 lakh students, 1.50 differently

abled persons and 18,000 blind persons.

New Schemes for the Year 2017-18.

465. Under “Raitha Sarathi” scheme, training will be

imparted to farmers and learner license and driving

license will be issued to facilitate the drivers of

agricultural tractors and trailers. Additionally, two

wheeler licenses will be issued and training will be

imparted to create road safety awareness for which Rs.2

crore will be provided.

466. To reduce road accidents and to improve road

safety, Karnataka State Road Safety Authority will be

constituted. For this Rs.5 crore will be provided.

467. To reduce Air and Noise Pollution in Bengaluru City, it is proposed to ban two stroke auto rickshaws

with effect from 01.04.2018 and replace with 10,000

four stroke LPG auto rickshaws, for which Rs.30 crore

will be provided as subsidy at Rs.30,000 per auto

rickshaw.

468. 3 new RTO offices will be started in

Chinthamani, Ranebennuru and Bantwal.

469. Road Transport Corporations

• It is proposed to substantially increase the

number of buses in BMTC to reduce traffic

congestion and to provide reliable transport

services in Bangalore city. 3000 new buses will

be inducted during the current year. Out of

which 1500 new buses will be purchased and

Page 130: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 129

remaining 1500 buses will be procured on lease

basis. State Government will provide support to

BMTC for purchase of buses by undertaking to

bear the repayment burden on the loans availed

by it.

• In the current year a total of 3250 new buses

will be purchased by transport corporations.

1050 buses by North West Karnataka Road

Transport Corporation (NWKRTC), 700 buses by

North East Karnataka Road Transport

Corporation (NEKRTC) and 1500 buses by

Karnataka State Road Transport Corporation

(KSRTC) will be purchased.

• It is proposed to introduce 150 Electric Buses in

Bengaluru City and 50 Electric Buses in Mysuru

City with central assistance.

• New Division will be opened at Shivamogga to

enhance operational efficiency.

• 44 new bus stands, 14 new bus depots and

training centers are proposed to be established

through all the Transport Corporations.

• Free bus passes will be issued to Goa Liberation

fighters of the State. Free bus passes will also

be issued to Arjuna and Khel Rathna Awardees.

• To provide greater safety to women passengers,

a new feature of SOS button and tracking will be

provided in the BMTC Mobile application.

• Smart Cards will be issued to beneficiaries of

free and concessional bus passes.

Page 131: Budget Speech 17-18 - Eng. 14-3-2017

130 Budget 2017-18

• Skill Development Centers will be established

for enhancement of capabilities of drivers and

mechanics. Additionally the existing centers will

also be upgraded to facilitate training of 25,000

candidates every year.

470. In 2017-18, a total amount of Rs.2354 crore is

provided to the Transport Department.

Law and Courts

471. Achievements for the last four years

• In order to double the number of courts in the

state and with a view to provide quick justice to

clients, in last four years, 252 new courts of

various types have been established.

• Special courts have been established in all

district headquarters of the State for the

disposal of cases relating to atrocity on women

and children.

• Around 200 additional posts of notary, on an

average one per taluk, in 176 revenue taluks of

the State, have been created.

• The stipend amount being paid for 24 months at

Rs.1000 per month to eligible law graduates has

been enhanced to Rs.2000/- per month from

2015-16.

• In Lok Adalaths held upto November-2016, 21

lakh cases have been disposed through mutual

consent.

• The grant being given to bar council for the

welfare of advocates in the state has been

enhanced from Rs.2 crore to Rs.5 crore during

2016-17.

Page 132: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 131

New schemes for the year 2017-18

472. “Karnataka Integrated Government Litigation

Management System” (KIGLMS) will be established with

a view to have an effective supervision, management and

control over all types of government litigations and to

monitor the work and performance of law officers. It will

be integrated with the portals of the Courts, Tribunals

and Bar Councils.

473. Grid connected solar roof tops will be installed

on PPP mode with the assistance of KREDL in Mysore,

Gadag, Kalburgi, Tumkur and Mangalore District Court

Complex.

474. Pure water units will be established in all taluks

court complexes at the cost of Rs.8.12 crore for the

benefit of public and advocates.

475. In 2017-18, a total amount of Rs.731 crore is

allocated to Law and Courts department.

Parliamentary affairs and Legislation

476. A project “E- Vidhana Mandala” to bring in

paperless legislative proceedings at a cost of Rs. 60.84

crore is proposed. Rs.20 crore will be provided in

2017-18 towards initial activities.

477. In 2017-18, a total amount of Rs.256 crore is

allocated to Parliamentary affairs and Legislation

department.

Public Sector Enterprises

478. In order to appreciate, recognize and motivate,

the 4 best performing enterprises will be given the Chief

Minister’s Rathna award every year, consisting of

Page 133: Budget Speech 17-18 - Eng. 14-3-2017

132 Budget 2017-18

Rs.3.75 lakh cash award and a commendation

certificate.

479. Department of Public Enterprises will conduct a

strategic evaluation of the working of Public Sector

Enterprises in Karnataka to prepare a roadmap for the

optimization of their operational efficiency and

effectiveness.

480. In 2017-18, a total amount of Rs.250 crore is

allocated to Public Sector Enterprises Department.

TAX PROPOSALS

GOODS AND SERVICES TAX

481. Goods and Services Tax is proposed to be

introduced in the country with effect from 1st July 2017.

The necessary Constitutional amendments have been

carried out and the crucial taxation bills are ready. The

GST Council has already given its stamp to these

taxation bills.

482. Karnataka has always been at the forefront in

supporting early introduction of GST and shaping its

policy contours. We have actively participated in exercise

for formulating the policy framework for GST. Even

before introduction of GST, we had introduced various

e-initiatives, like e-UPaSS, that will help smooth

transition in our State.

483. The migration of existing taxpayers to GST is

already underway and the taxpayers in Karnataka have

shown exemplary enthusiasm in getting themselves

migrated to GST. Due to their initiative and the support

of the Government, Karnataka has achieved highest level

of migration in the country. I would use this opportunity

Page 134: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 133

to thank the taxpayers of our State and seek their

support in implementation of GST in our State.

484. For smooth introduction of GST, we have

undertaken a massive outreach programme through

more than 100 workshops and roadshows for interaction

with taxpayers and professionals in making them aware

about the proposed tax reform. We have also taken steps

for building adequate capacity within the Commercial

Taxes Department. Till now, more than 3000 officers and

staff of the department have been trained.

COMMERCIAL TAXES

485. The Budget Estimates for the current year was

fixed at Rs.51338 crore. Despite adverse impact of

demonetization on the economy and tax collections in

the current year, we are making all efforts to mobilise

necessary resources to meet our expenditure

requirements and expect to reach the target for the

current year. Keeping in view introduction of GST in the

ensuing year, the Budget Estimate for Commercial Taxes

is pegged at Rs.55000 crore.

VALUE ADDED TAX

Relief and Rationalization

486. In the light of introduction of GST, I do not

propose to make any major changes in the rate

structure. I propose to continue the tax exemption on

paddy, rice, wheat, pulses and products of rice, Ragi

Rice (processed Ragi) and wheat. I also propose to

exempt flour of Navane, Same, Aaraka and Baragu

(Siridhanyagalu) from tax. I also propose to exempt tax

on husk of coconut and pulses.

Page 135: Budget Speech 17-18 - Eng. 14-3-2017

134 Budget 2017-18

Administrative Measures

487. The limitation period for assessment and

reassessments pertaining to tax periods of 2012-13 and

2013-14 would be ending along with that for 2010-11

and 2011-12 respectively. This will put undue pressure

on taxpayers as well as the tax administration,

especially when we will be working to implement the

largest indirect tax reform. To ease this pressure, I

propose to bring necessary amendments to section 40 of

the KVAT Act, 2003 to extend the period of limitation for

assessments or reassessments pertaining to tax periods

of 2012-13 and 2013-14 by one year. I also propose to

amend section 40 to exclude period taken for disposal of

revision proceedings in computing the period of

limitation for assessment or reassessment.

488. As we are moving towards replacing the existing

Value Added Tax with the proposed Goods and Services

Tax, I propose a Karasamadhana scheme to waive 90%

of penalty and interest on payment of full tax and

remaining 10% of penalty and interest by 31st May 2017.

This will enable trade and industry to clear their pending

tax liabilities and start with a clean state in GST.

EXCISE

489. We had fixed a revenue target of Rs.16510 crore

for the Excise Department for the year 2016-17.

We expect to achieve this target.

490. The Administrative fee of Rs. 2 per litre on

export and Re. 1 per litre on import levied on Spirit

(excluding Ethanol) is proposed to be withdrawn.

491. We have 17 declared slabs of Additional Excise

Duty. As a measure of rationalisation, I propose to

Page 136: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 135

increase the Additional Excise Duty on the 5th and 11th

slabs by 6% and on the remaining 15 slabs by 10% and

16% as per Annexure-I. In view of these changes, VAT

on liquor including beer, fenny, liqueur and wine will be

removed with effect from 01.04.2017.

492. With this and with effective enforcement and

regulatory measures, the department would be achieving

the target of Rs.18050 crore fixed for the financial year

2017-18.

STAMPS AND REGISTRATION DEPARTMENT

493. For the year 2016-17, Revenue target of

Rs.9,100 crores was fixed and we had expected to

achieve the same. However, the decision of the Union

Government to demonetize large currency notes had a

major adverse impact on the performance and from

November 2016 onwards the number of documents

registered decreased by 25%. As a result, we expect

shortfall of almost Rs.1350 crores and expect to achieve

Rs.7750 crores by March end.

494. Amendment to the Karnataka Stamp Act, 1957

• It is proposed to rationalize Article 37 in the

Schedule to the said Act as described in

Annexure - II enclosed herewith.

• It is proposed to amend Article 20(4),

consequent upon change in the Companies Act,

2013, for amalgamation of companies.

• It is proposed to amend Section 30, to specify

the persons who are liable to pay the stamp

duty on certain instruments.

Page 137: Budget Speech 17-18 - Eng. 14-3-2017

136 Budget 2017-18

• It is proposed to amend Section 52-A, to

prescribe the time limit for use of stamps and

refund of stamps.

495. The revenue collection target for 2017-18 is fixed at Rs.9000 crores.

TRANSPORT DEPARTMENT

496. The Revenue Target for 2016-17 was Rs.5160

Crores. Due to increase in the registration of vehicles we

may exceed the target by achieving Rs.5450 crores, an

excess of Rs.290 crores.

497. Motor Vehicle Taxes on two wheelers have not

been enhanced since 2010. Hence, it is proposed to

enhance taxes on two wheelers which are costing more

than one lakh only from the present rate of tax 12% to

18% on the cost of the vehicle, as per Annexure- III.

Additional revenue to the Government of Rs.60 crores is

expected from the proposal.

498. The Revenue collection target for 2017-18 is fixed at Rs.6006 crores.

Revised Estimates 2016-17

499. As per the Revised Estimates 2016-17, the

Total Receipts are Rs.1,64,104 crore compared to the

Budget Estimates of Rs.1,61,956 crore. The revenue

mobilization efforts of the State stand at Rs.1,32,867

crore, out of which the Own Tax Revenues are estimated

at Rs.82,211 crore.

500. As per the Revised Estimates, the Total

Expenditure is Rs.1,64,479 crore. As per the Revised

Estimates of 2016-17, the Plan outlay is Rs.85,933

Crore of which Rs.75,769 crore is from State Budgetary

Page 138: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 137

Resources and Rs.10,164 Crores is from Public Sector

Enterprises. This is an increase of 19.43 percent over

2015-16.

Budget Estimates 2017-18

Hon’ble Speaker Sir,

501. The Total Receipts are estimated to be

Rs.1,82,119 crore during 2017-18. The Budget

Estimates envisage Revenue Receipts of Rs.1,44,892

crore and Capital Receipts of Rs.37,227 crore including

Borrowings of Rs.37,092 Crore. The Total Expenditure

is estimated to be Rs.1,86,561 crore consisting of

Revenue Expenditure of Rs.1,44,755 crore, Capital

Expenditure of Rs.33,630 crore and debt repayment of

Rs.8,176 crore.

502. Revenue Surplus is estimated to be Rs.137

crore. Fiscal Deficit is expected to be Rs.33,359 crore,

which 2.61 % of GSDP. Total liabilities at Rs.2,42,420

crore at the end of 2017-18 are estimated to be 18.93%

of GSDP. This is within the limit of 25% for 2017-18

mandated in Karnataka Fiscal Responsibility Act.

503. Therefore, all these three fiscal parameters are

within the mandate of the Karnataka Fiscal

Responsibility Act and this reflects fiscal prudence of

the State.

Resource Mobilization

504. The States Own Tax Revenue for 2017-18 is

estimated to be Rs.89,957 crore which is an increase of

9.42 % over the Revised Estimate of 2016-17.

Page 139: Budget Speech 17-18 - Eng. 14-3-2017

138 Budget 2017-18

505. Rs.6,945 crore is expected to be collected from

Non-Tax Revenues. The State Government expects to

receive Rs.31,908 crore by way of the share in Central

Taxes in the Budget 2017-18 and another Rs.16,082

crore as grants from Government of India. These

revenue receipts are estimated to be supplemented by

gross borrowings of Rs.37,092 crore, non-debt capital

receipts of Rs.75 crore and recovery of loans to the

extent of Rs.60 crore.

506. Various State owned Boards and Corporations

and Local bodies are expected to mobilize Rs. 11,279

crore through internal resource generation and

borrowings made on the basis of their own financial

strength and own revenues.

Hon’ble Speaker Sir,

507. This budget reflects our priorities. It expresses our aspirations. In this regard, I seek co-operation of all

the Hon’ble Members of this August House for its

implementations.

508. Now, I commend the budget for consideration of

the August House and seek approval for Vote on

Account for the expenditure upto 30th June, 2017 as per

budget estimates.

Jai Hind

Jai Karnataka

Page 140: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 139

BUDGET AT A GLANCE

Page 141: Budget Speech 17-18 - Eng. 14-3-2017

140 Budget 2017-18

BUDGET AT A GLANCE

(Rs in

Crore)

Item

Budget Estimates

Revised Estimates

Budget Estimates

2016-17 2016-17 2017-18

Opening Balance -139.36 -74.89 -176.04

A. REVENUE ACCOUNT

I. Receipts

State Taxes 83864.45 82210.82 89956.56

Share of Central Taxes 26978.84 28759.94 31908.05

Grants from Central

Government 13694.34 14797.69 16082.31

Non-Tax Revenue 6220.45 7098.82 6944.62

TOTAL-A.I 130758.08 132867.27 144891.54

II.Expenditure

Social Services 50960.26 53662.74 55887.39

Economic Services 38277.08 39160.69 43671.14

General Services 35018.42 33091.78 38009.10

Grants-in-aid and Contributions

5980.31 5889.55 7187.37

TOTAL-A.II 130236.07 131804.76 144755.00

Revenue Account Surplus/Deficit

522.01 1062.51 136.54

Page 142: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 141

Item

Budget Estimates

Revised Estimates

Budget Estimates

2016-17 2016-17 2017-18

B. CAPITAL ACCOUNT

I. Receipts

Loans from Central Government

1798.00 1798.00 1670.74

Open Market Loans 25537.00 28007.00 34716.51

Loans from NSSF,NCDC and RIDF

3701.00 1231.00 705.00

Misc Capital Receipts 75.00 97.00 75.00

Recoveries of Loans and Advances

86.99 104.14 60.20

Public Account 343321.25 341281.56 513869.86

TOTAL-B.I 374519.24 372518.70 551097.31

II.Disbursements

Capital Outlay 25715.90 24773.54 32033.04

Repayment of Central Government Loans

964.92 962.42 1083.22

Repayment of Market

Loans 3981.21 3981.21 4750.17

Repayment of Loans to

LIC,GIC,NSSF,NCDC and RIDF

1895.28 2312.69 2342.26

Disbursements of Loans and Advances

625.19 643.97 1597.40

Public Account 342035.92 341008.53 509623.76

TOTAL-B.II 375218.42 373682.36 551429.85

B. Capital Account Surplus/Deficit

-699.18 -1163.66 -332.54

C. Overall Surplus/Deficit for the Year

-177.17 -101.15 -196.00

D. Closing Balance -316.53 -176.04 -372.04

Page 143: Budget Speech 17-18 - Eng. 14-3-2017

142 Budget 2017-18

Annexure-A

1. Bagalkot District – Guledagudda, Rabakavi-

Banahatti and Ilakal

2. Belgavi District – Nippani, Mudalagi, Kagawad

3. Chamarajnagar District – Hanuru

4. Davanagere District-Nyamati

5. Bidar District-Chitaguppa, Hulasuru and

Kamalanagara

6. Ballari District-Kurugodu, Kotturu and Kampli

7. Dharwad District-Annigeri, Alnavar and Hubli

City

8. Gadag District-Gajendragad and

Lakshmeshwar

9. Gulbarga District-Kalagi, Kamalapura, Yadravi

and Shahabad

10. Yadgir District-Hunasagi, Vadagera and

Gurumitkal

11. Koppal District-Kukanuru, Kanakagiri and

Karatagi

12. Raichur District-Maski and Siravara

13. Udupi District-Brahmavara, Kapu and

Byndooru

14. Dakshina Kannada District -Moodabidire and

Kadaba

15. Bangalore Urban District -Yelahanka

Page 144: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 143

16. Vijayapura District-Babaleshwara, Nidagundi,

Thikota, Devarahipparagi, Talikote,

Chadachana and Kolhara

17. Haveri District-Rattihalli

18. Mysuru District-Saraguru

19. Chickmagalur District-Ajjampura

20. Uttara Kannada District -Dandeli

21. Kolar District-K.G.F.

Page 145: Budget Speech 17-18 - Eng. 14-3-2017

144 Budget 2017-18

ANNEXURE - I (PARA-491)

EXISTING AND PROPOSED ADDITIONAL

EXCISE DUTY (AED) RATES ON IML.

Sl.

No.

Declared Price

(per Carton Box)

Existing AED

(per B.L.)

Proposed AED

(per B.L.)

1 0 - 449 125 138

2 450 - 499 159 175

3 500 - 549 199 231

4 550 - 599 256 297

5 600 - 699 364 386

6 700 - 799 407 472

7 800 - 899 434 503

8 900 - 999 468 543

9 1000 - 1099 490 568

10 1100 - 1199 549 637

11 1200 - 1299 700 742

12 1300 - 1399 744 863

13 1400 - 1799 804 933

14 1800 - 2199 898 1042

15 2200 - 4924 1026 1190

16 4925 - 7650 1198 1390

17 7651 and above

18% on Declared

Price

21% on Declared

Price

Page 146: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 145

Annexure –II

( Para - 494)

Existing and proposed rate of stamp duty

Sl No

Article No.

Description of

Instrument

Proper Stamp Duty

Existing Proposed

1 2 3 4 5

1 37 Note or Memorandum or record of transactions (Electronic or otherwise).- Sent by a broker or agent to his principal intimating the purchase or sale on account of such principal or effected by a trading member (agent) through stock exchange or association or otherwise on behalf of the client (principal) resident in the State of Karnataka or otherwise.

Page 147: Budget Speech 17-18 - Eng. 14-3-2017

146 Budget 2017-18

Sl No

Article No.

Description of

Instrument

Proper Stamp Duty

Existing Proposed

1 2 3 4 5

(a) Of any goods or commodities or

currencies

One rupee for every ten thousand or part thereof on the value of goods or commodities or currencies, subject to a maximum of fifty rupees

Thirty paise for every ten thousand or part thereof

on the value of goods or commodities or currencies.

(b) Of any share, scrip, stock, bond,

debenture, debenture stock or other marketable security of a like nature, not being a Government Security

One rupee for every ten thousand or part thereof on the value of such security at the time of its purchase or sale, as the case may be, subject to a maximum of fifty rupees

Thirty paise for every ten thousand or part thereof on the value of such security at the time of its purchase or sale, as the case

may be.

(c) Of a Government Security

one rupee for every ten thousand or part thereof of the value of the security, at the time of its purchase or sale, as the case may be,

Thirty paise for every ten thousand or

part thereof on the value of the security, at the time of its purchase

or sale, as

Page 148: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 147

Sl No

Article No.

Description of

Instrument

Proper Stamp Duty

Existing Proposed

1 2 3 4 5

subject to a maximum of rupees fifty

the case may be

(d) Of securities other than those falling under clause (b) above, in respect of either delivery or non delivery based (jobbing and trading) transactions

one rupee for every ten thousand or part thereof subject to a maximum of fifty rupees

Thirty paise for every ten thousand or

part thereof

(e) Of futures and options trading, of securities other than those falling under clause (b) above

one rupee for every ten thousand or part thereof subject to a maximum of fifty rupees

Thirty paise for every ten thousand or part thereof

(f) Of forward contracts of commodities

One rupee for every ten thousand or part thereof subject to a maximum of fifty rupees

Thirty paise

for every ten thousand or

part thereof

Explanation:

For the purposes of

Page 149: Budget Speech 17-18 - Eng. 14-3-2017

148 Budget 2017-18

Sl No

Article No.

Description of

Instrument

Proper Stamp Duty

Existing Proposed

1 2 3 4 5

clauses (b), (d) and (e), “securities” means, the securities as defined in clause (h) of Section 2 of the Securities Contracts (Regulation) Act, 1956

Exemptions:

(1) Note or Memorandum sent by a broker or agent to his principal intimating the purchase or sale on account of such principal or a Government security or a share, scrip, stock, bond, debenture, debenture stock or other marketable security of like nature in or of any

Page 150: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 149

Sl No

Article No.

Description of

Instrument

Proper Stamp Duty

Existing Proposed

1 2 3 4 5

incorporated company or other body corporate, an entry relating to which is required to be made in clearance lists described in clauses (1), (2) and (3) of Article 18-A

(2) Note or Memorandum sent by a broker or agent to his principal in any of the above cases, when the amount stated in the instrument is less than rupees one hundred.

Page 151: Budget Speech 17-18 - Eng. 14-3-2017

150 Budget 2017-18

Annexure-III

(Para - 498)

“Part A1”

(Taxation Schedule)

(See Section3 (1))

Lifetime Tax for Two Wheelers

Sl No.

Class of vehicles

Motor cycles

whose cost does not exceeds Rs.

50,000/-

Motor cycles cost of which exceeds

Rs.50,000/- but does not exceeds Rs. 1,00,000/-

Motor cycles cost which

exceeds Rs. 1,00,000/-

A

At the time of Registration of New Vehicles

10 percent of cost of the Vehicle

12 percent of the cost of the Vehicle

18 percent of the cost of the Vehicle

B

If the vehicle is already registered and its age from the month of Registration is:

Percentage of the Life Time Tax

levied under Clause A

Percentage of the Life Time Tax

levied under Clause A

Percentage of the Life Time Tax

levied under Clause A

1 Not more than 2 years

93% 93% 93%

2

More than2Years but not more than3 Years

87% 87% 87%

3

More than3Years but not more than 4 Years

81% 81% 81%

Page 152: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 151

Sl No.

Class of vehicles

Motor cycles

whose cost does not exceeds Rs.

50,000/-

Motor cycles cost of which exceeds

Rs.50,000/- but does not exceeds Rs. 1,00,000/-

Motor cycles cost which

exceeds Rs. 1,00,000/-

4

More

than4Years

but not more

than5 Years

75% 75% 75%

5

More

than5Years

but not more

than6 Years

69% 69% 69%

6

More

than6Years

but not more

than7 Years

64% 64% 64%

7

More

than7Years

but not more

than 8 Years

59% 59% 59%

8

More than

8Years but not

more than 9

Years

54% 54% 54%

9

More

than9Years

but not more

than10 Years

49% 49% 49%

Page 153: Budget Speech 17-18 - Eng. 14-3-2017

152 Budget 2017-18

Sl No.

Class of vehicles

Motor cycles

whose cost does not exceeds Rs.

50,000/-

Motor cycles cost of which exceeds

Rs.50,000/- but does not exceeds Rs. 1,00,000/-

Motor cycles cost which

exceeds Rs. 1,00,000/-

10

More

than10Years

but not more

than11 Years

45% 45% 45%

11

More

than11Years

but not more

than12 Years

41% 41% 41%

12

More

than12Years

but not more

than13 Years

37% 37% 37%

13

More

than13Years

but not more

than 14 Years

33% 33% 33%

14

More

than14Years

but not more

than 15 Years

29% 29% 29%

15 More than15

years 25% 25% 25%

Notes:

1. In respect of vehicles of which a life time tax was due prior to the first day of April 2017, but has not been paid, such tax shall be collected at the rates prevailing prior to such day along with the penalty due, if any.

Page 154: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 153

2. Purchase Invoice shall be produced in respect of vehicles which are registered on or after 1st day of April 2007.

3. Cost of the vehicle in relation to a motor vehicle means –

(a) In respect of a vehicle manufactured in

India, cost of the vehicle as per the

purchase invoice issued either by the

manufacturer or by the dealer of the vehicle

including the excise duty, sales tax,

surcharge or cess, entry tax etc., as payable

in the State of Karnataka; and

(b) In respect of an imported motor vehicle,

irrespective of its place of manufacture, the

total cost incurred in importing the vehicle,

that is to say, the value of the motor vehicle

as endorsed in the Bill of Entry or such

other document and assessed as such

under the Customs Act. 1962, together with

the Customs Duty levied, freight charges

incurred and other taxes levied thereupon

including additional duty/penalty levied if

any, by the Customs Department or any

other Department.”

Page 155: Budget Speech 17-18 - Eng. 14-3-2017

154 Budget 2017-18

Page 156: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 155

Agr

icul

ture

, Ir

rigat

ion

&

Rur

al D

ev,

19 P

aise

Oth

erG

ener

al S

ervi

ces

17 P

aise

Deb

tS

ervi

cing

12 P

aise

Oth

er E

cono

mic

Ser

vice

s,

17 p

aise

Edu

catio

n,11

pai

se

Soc

ial

Wel

fare

,10

pai

se

Oth

er S

ocia

l S

ervi

ces,

8

pais

e

Hea

lth,

4 pa

ise

Wat

er S

uppl

y &

S

anita

tion,

2

pais

e

Exp

endi

ture

-W

here

the

Rup

ee G

oes

(201

7-18

BE

)

Page 157: Budget Speech 17-18 - Eng. 14-3-2017

156 Budget 2017-18

Com

mer

cial

T

axes

5500

0, 6

1%S

tate

Exc

ise

1805

0, 2

0%

Sta

mps

&

Reg

istr

atio

n90

00, 1

0%

Mot

or V

ehic

les

6006

, 7%

Oth

ers

1901

, 2%

Bre

ak-u

p of

Sta

te's

Ow

n Ta

x 20

17-1

8 B

E

(Rs.

in C

rore

)

Page 158: Budget Speech 17-18 - Eng. 14-3-2017

Budget 2017-18 157